SOURCE: Schawk, Inc.

December 01, 2008 08:00 ET

Schawk Announces Additional Stock Repurchase Program for up to Two Million Shares in 2009

DES PLAINES, IL--(Marketwire - December 1, 2008) - Schawk, Inc. (NYSE: SGK), a leading provider of brand point management services, enabling companies of all sizes to connect their brands with consumers to create deeper brand affinity, announced that, pursuant to authority from its board of directors to repurchase, as conditions permit, up to two million shares of the Company's common stock per calendar year, the Company expects to seek to repurchase up to two million shares of the Company's common stock in 2009. This additional stock repurchase program follows the Company's 2008 repurchase authorization, announced in February 2008, to repurchase up to two million shares in 2008. Pursuant to the 2008 repurchase program, the Company had purchased a total of 636,300 shares for a cost of $9.8 million as of September 30, 2008, and expects to complete the 2008 purchase authorization of two million shares before the end of December 2008.

As of September 30, 2008, the Company had 26,545,584 shares outstanding. The 2009 share repurchase is expected to be funded using Schawk's existing cash flow and its revolving credit facility, which had approximately $72 million of additional availability as of September 30, 2008.

The share repurchases may occur from time-to-time through open market purchases, privately negotiated transactions and/or transactions structured through investment banking institutions as permitted by securities laws and other legal requirements. The Company expects to enter into one or more 10b5-1 purchase plans with respect to the 2009 program. Market conditions will influence the timing of the buyback and the number of shares repurchased. The program does not obligate the Company to repurchase any specific number of shares and may be suspended or terminated at any time without prior notice. Shares repurchased will be held as treasury shares.

David A. Schawk, president and chief executive officer, said, "With our initial repurchase program of up to two million shares expected to be completed by the end of this year, we are affirming our confidence and optimism in the long-term future of the Company through this additional repurchase program for 2009."

About Schawk, Inc.

Schawk, Inc. is the leading provider of brand point management services, enabling companies of all sizes to connect their brands with consumers to create deeper brand affinity. With a global footprint of more than 60 offices, Schawk helps companies create compelling and consistent brand experiences by providing integrated strategic, creative and executional services across brand touchpoints. Founded in 1953, Schawk is trusted by many of the world's leading organizations to help them achieve global brand consistency. For more information about Schawk, visit http://www.schawk.com

Safe Harbor Statement

Certain statements in this press release are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended and are subject to the safe harbor created thereby. These statements are made based upon current expectations and beliefs that are subject to risk and uncertainty. Actual results might differ materially from those contained in the forward-looking statements because of factors, such as, among other things, unanticipated difficulties associated with additional accounting issues, if any, which may cause our investors to lose confidence in our reported financial information and may have a negative impact on the trading price of our stock; our ability to remedy known internal control deficiencies and weaknesses and the discovery of future control deficiencies or weaknesses, which may require substantial costs and resources to rectify; higher than expected costs, or unanticipated difficulties associated with, integrating acquired operations; higher than expected costs associated with compliance with legal and regulatory requirements; the strength of the United States economy in general and specifically market conditions for the consumer products industry; the level of demand for Schawk's services; loss of key management and operational personnel; our ability to implement our growth strategy, rebranding initiatives and cost reduction plans and to realize anticipated cost savings; the stability of state, federal and foreign tax laws; our continued ability to identify and exploit industry trends and exploit technological advances in the imaging industry; our ability to implement restructuring plans; the stability of political conditions in Asia and other foreign countries in which we have production capabilities; terrorist attacks and the U.S. response to such attacks; as well as other factors detailed in Schawk, Inc.'s filings with the Securities and Exchange Commission.

For more information about Schawk, visit its Web site at http://www.schawk.com

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