Synchrony Announces Approval of a $2.9 Billion Share Repurchase Program and Plans to Maintain Quarterly Common Stock Dividend of $0.22 Per Share

Rhea-AI Summary

Synchrony Financial (NYSE: SYF) has announced a $2.9 billion share repurchase program starting from April 1, 2021 until June 30, 2022. This repurchase plan replaces the previous program announced on January 29, 2021. Additionally, the company will maintain its quarterly cash dividend of $0.22 per share. Synchrony plans to execute these repurchases based on market conditions and compliance with legal and regulatory requirements, potentially enhancing shareholder value during the period.

Positive

• Share repurchase program of $2.9 billion aimed at enhancing shareholder value
• Continued quarterly dividend of $0.22 per share reflects financial stability

Negative

• None.

STAMFORD, Conn., May 25, 2021 /PRNewswire/ -- Synchrony Financial (NYSE: SYF) announced today that its Board of Directors has approved a share repurchase program of up to $2.9 billion, for the period which commenced April 1, 2021 through June 30, 2022, and intends to maintain the quarterly cash dividend of $0.22 per share of common stock. The share repurchase program supersedes the program previously announced on January 29, 2021, and does not include the impact of any capital which would be released if the Loan Receivables associated with the Gap program are sold at expiration of the existing program agreement.

The company expects to make share repurchases from time to time subject to market conditions and other factors, including legal and regulatory restrictions and required approvals.

About Synchrony

Synchrony (NYSE: SYF) is a premier consumer financial services company. We deliver a wide range of specialized financing programs, as well as innovative consumer banking products, across key industries including digital, retail, home, auto, travel, health and pet. Synchrony enables our partners to grow sales and loyalty with consumers. We are one of the largest issuers of private label credit cards in the United States; we also offer co-branded products, installment loans and consumer financing products for small- and medium-sized businesses, as well as healthcare providers.

Synchrony is changing what's possible through our digital capabilities, deep industry expertise, actionable data insights, frictionless customer experience and customized financing solutions.

For more information, visit www.synchrony.com and Twitter: @Synchrony.

Media Contact:

Investor Relations    
Jennifer Church     
(203) 585-6508    

Media Relations
Lisa Lanspery
(203) 585-6143

 

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SOURCE Synchrony

FAQ

What is the purpose of Synchrony's $2.9 billion share repurchase program?

The $2.9 billion share repurchase program is aimed at enhancing shareholder value.

When does the share repurchase program for Synchrony start and end?

The share repurchase program commenced on April 1, 2021, and runs through June 30, 2022.

What is the dividend payment for Synchrony stock?

Synchrony plans to maintain a quarterly dividend of $0.22 per share.

How does Synchrony plan to conduct its share repurchases?

Synchrony intends to make share repurchases from time to time, subject to market conditions and legal restrictions.

What impact could the share repurchase program have on SYF stock price?

The buyback program could potentially increase the stock price by reducing the number of shares outstanding and demonstrating the company's confidence in its financial future.