KONE Corporation's Annual General Meeting held on 27 February, 2006 authorized the Board of Directors to repurchase and redistribute the company's own shares.
On the basis of this authorization KONE Corporation's Board of Directors has decided to commence repurchasing shares at the earliest on 7 March, 2006. The repurchasing of shares will continue until otherwise announced.
The shares may be repurchased in order to develop the capital structure of the Company, finance or carry out possible acquisitions, implement the Company's share-based incentive plans, or to be transferred for other purposes or be cancelled. Altogether no more than 12,785,000 shares may be repurchased, of which no more than 1,905,000 are to be class A shares and 10,880,000 class B shares, taking into consideration the provisions of the Companies Act regarding the maximum amount of own shares that the Company is allowed to possess. The proposed amount corresponds to nearly 10 percent of both the share capital of the Company and the total voting rights. The KONE Group currently has 774,840 class B shares in its possession.
Class B shares shall be purchased at public trading on the Helsinki Stock Exchange at the market price. The class A shares shall be purchased in proportion to the existing shareholdings at the price equivalent to the average price of class B shares paid on the Helsinki Stock Exchange at the time of purchase.
Secretary to the Board of Directors
Senior Vice President, Corporate Communications & IR
For further information, please contact:
Minna Mars, SVP, Corporate Communications & IR, tel. +358 (0)204 75 4501
KONE is one of the world’s leading elevator and escalator companies. It provides its customers with industry-leading elevators and escalators and innovative solutions for their maintenance and modernization. KONE also provides maintenance of automatic building doors. KONE has annual net sales of approximately EUR three billion and about 27,000 employees. Its class B shares are listed on the Helsinki Exchanges.