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Manti

02/15/10 12:23 PM

#82702 RE: Sparce #82700

The benefit is IF the fair value of the shares is much higher, say a dollar, and the company can buy them for a dime. A buyback of 20% would make the remaining shares worth 1.15 (1.25-.10).
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RKT989

02/15/10 12:30 PM

#82705 RE: Sparce #82700

buying the stock back and having it appreciate in the company treasury is just like your bank..

Consider it like currency that has grown and is available for deals,infrastructure needs,.......