Zimmer Begins New Share Repurchase Program

The board of directors of Warsaw, Ind.-based orthopedic device maker Zimmer Holdings Inc. has authorized a new share repurchase program that will begin Jan. 1 2014.

The new share repurchase program authorizes purchases of up to $1 billion of the company’s common stock with no expiration date. After Dec. 31 this year, no further purchases will be made under the existing share repurchase program, which authorized purchases through Dec. 31, 2014.

Repurchases under the new program may be made in the open market or in privately negotiated transactions from time to time in compliance with U.S. Securities and Exchange Commission regulations, depending on market conditions and other factors. The company had approximately 171 million shares of common stock outstanding as of Oct. 25, 2013.

The board also approved the payment of a quarterly dividend to stockholders for the fourth quarter of 2013—a cash dividend of about $0.20 per share will be paid on or about Jan. 31, 2014, to stockholders of record as of the close of business on Dec. 27 this year. The dividend represents an annual dividend rate of $0.80 cents per share. Future declarations of dividends are subject to approval of the Board of Directors and may be adjusted as business needs or market conditions change.