Norfolk Southern Announces New $10 Billion Stock Repurchase Program

Rhea-AI Summary

Norfolk Southern Corporation (NYSE: NSC) has announced a new stock buyback program, authorizing up to $10 billion in repurchases starting April 1, 2022. This program replaces the existing buyback plan, which concludes on March 31, 2022. The repurchases will be conducted through various methods including open market and privately negotiated transactions. The initiative aligns with the company's cash flow expectations and has no fixed expiration date, allowing for flexibility based on market conditions.

Positive

• Authorization of a $10 billion stock repurchase program, enhancing shareholder value.
• Flexibility in repurchase methods allows for strategic buying.
• Alignment of buyback strategy with cash flow expectations indicates financial confidence.

Negative

• None.

ATLANTA, March 29, 2022 /PRNewswire/ -- Norfolk Southern Corporation (NYSE: NSC) today announced that its Board of Directors has authorized a new program for the repurchase of up to $10 billion of its common stock beginning April 1, 2022. The company's current program will be terminated on March 31, 2022.

Purchases will be made through open market transactions, privately negotiated transactions, accelerated share repurchase programs, or by combinations of such methods. Norfolk Southern believes shifting to a dollar denominated program more closely aligns its repurchase strategy with its expectations for cash flows. The new program, which has no expiration date, may be modified or terminated at any time. The timing and volume of any repurchases will be guided by management's assessment of market conditions and other factors.

Forward Looking Statements
Any statements contained in this news release which are not related to historical facts are forward-looking statements as that term is defined in the Private Securities Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties (noted in the corporation's filings with the Securities and Exchange Commission) which could cause actual results to differ.

About Norfolk Southern
Norfolk Southern Corporation (NYSE: NSC) is one of the nation's premier transportation companies, moving the goods and materials that drive the U.S. economy. Norfolk Southern connects customers to markets and communities to economic opportunity, with safe, reliable, and sustainable shipping solutions. The company's service area includes 22 states and the District of Columbia, every major container port in the eastern United States, and a majority of the U.S. population and manufacturing base.

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SOURCE Norfolk Southern Corporation

FAQ

What is the new stock buyback program for Norfolk Southern (NSC)?

Norfolk Southern has authorized a new stock buyback program for up to $10 billion, starting April 1, 2022.

When will the current stock buyback program for NSC end?

The current stock buyback program will terminate on March 31, 2022.

How will Norfolk Southern execute the stock repurchases?

The repurchases will be made through open market transactions, privately negotiated transactions, and accelerated share repurchase programs.

What is the expected impact of the buyback program on NSC's stock price?

The buyback program is likely to enhance shareholder value and could positively influence NSC's stock price.

Does the new buyback program have an expiration date?

No, the new buyback program has no fixed expiration date and can be modified or terminated at any time.