REDWOOD CITY, Calif., October 17, 2002 - Informatica Corporation (NASDAQ: INFA), the leading provider of business analytics software, today announced that its board of directors has authorized a one-year stock repurchase program for up to five million shares of common stock. The company had approximately 80 million shares of common stock outstanding as of September 30, 2002.
“This stock repurchase program demonstrates our strong belief in Informatica's future,” said Earl Fry, senior vice president and chief financial officer. “Repurchasing stock at current valuation levels is a prudent use of cash and represents an opportunity to enhance long-term shareholder value. Informatica has a strong cash position. This repurchase program will help minimize dilution for our shareholders.”
Purchases will be made from time to time in the open market, and will be funded from available working capital. The number of shares to be purchased and the timing of purchases will be based on the level of Informatica's cash balances, general business and market conditions, and other factors, including alternative investment opportunities. This is the first stock repurchase program in Informatica's history.
About Informatica
Informatica Corporation (NASDAQ: INFA) is the leading provider of business analytics software that helps Global 2000 companies monitor and manage the performance of key business operations across the enterprise. Informatica business analytics products span the entire “build to buy” spectrum, enabling customers to buy packaged analytic applications or build their own best-of-breed data warehousing solutions - whichever approach best suits their requirements and resources. More than 1,500 companies worldwide are using Informatica data integration software to build and manage data warehouses. And, leading technology innovators, including Motorola, ConAgra, Brunswick, Brocade, Hewlett-Packard and GE, are using Informatica packaged analytic applications to successfully monitor and optimize business performance. For more information, call 1.650.385.5000 (1.800.970.1179 in the U.S.), or visit the Informatica Web site at http://www.informatica.com/
This news release contains forward-looking statements, including statements relating to Informatica's future outlook, the company's intention to repurchase shares of its common stock under the stock repurchase program, and the advisability, benefits and effects of such stock repurchase program. These forward-looking statements are based on current expectations that involve risks and uncertainties. Informatica's actual results may differ materially from the company's future outlook as discussed in this news release. Factors that might cause such a result include risks related to adverse changes in general economic conditions, failure to increase revenues or reduce costs, lack of success in technical advancements, the timely development, production and acceptance of new products and services, and Informatica's ability to compete in the highly competitive and rapidly changing marketplace. In addition, Informatica's intentions with regard to the stock repurchase program may be affected by a number of factors, which include an increase in the market price of the company's common stock and management's determination that the company's cash resources could be better used for other purposes. These and other risks are detailed from time to time in Informatica's periodic reports filed with the Securities and Exchange Commission, including, but not limited to, its annual report on Form 10-K for its fiscal year ended December 31, 2001 and its quarterly reports on Form 10-Q for the quarters ended March 31, 2002 and June 30, 2002.
