Hammond Power Solutions Inc.

Hammond Power Solutions Inc.

July 16, 2009 17:51 ET

Hammond Power Solutions Inc. Announces Normal Course Issuer Bid

GUELPH, ONTARIO--(Marketwire - July 16, 2009) - Hammond Power Solutions Inc.'s ("HPS") (TSX:HPS.A) Board of Directors has authorized the repurchase of up to 400,000 of its Class A Subordinate Voting Shares ("Class A Shares"), representing 4.47% of the 8,948,000 Class A Shares outstanding as of July 14, 2009, by way of a normal course issuer bid through the facilities of the Toronto Stock Exchange (the "TSX"). Daily purchases will be limited to 2,582 Class A Shares, other than block purchase exceptions, which is 25% of the average daily trading volume of 10,327 Class A Shares of HPS on the TSX in the preceding six calendar months.

The purchases may commence on July 21, 2009, and will terminate no later than July 20, 2010. Purchases will be made in open market transactions on the TSX.

Decisions regarding the timing of future repurchases will be based on market conditions, share price and other factors. HPS may elect to suspend or discontinue the bid at any time. Class A Shares repurchased under the bid will be cancelled.

The board of directors of HPS has authorized the NCIB as it believes that current market conditions provide opportunities for HPS to acquire Class A Shares at attractive prices and are an appropriate use of the HPS's funds and will enhance shareholder value.

About Hammond Power Solutions Inc.

HPS is a North American leader for the design and manufacture of dry-type custom electrical engineered magnetics and is also a leading manufacturer of standard electrical dry-type transformers. Leading edge engineering capabilities, high quality products, and fast, responsive service to customers' needs have all served to establish HPS as a technical and innovative leader in the electrical and electronic industries. HPS has three manufacturing plants in Canada, two in Mexico and one in the United States.

Caution Regarding Forward-Looking Information

This press release contains "forward-looking information" within the meaning of applicable securities laws. The forward-looking information contained in this press release is subject to known and unknown risks, uncertainties and other factors that are not within the control of HPS. Generally, this forward-looking information can be identified by the use of forward-looking terminology such as "outlook", "anticipate", "project", "target", "believe", "estimate", "expect", "intend", "should", "scheduled", "will", "plan" and similar expressions. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause HPS's actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information and developed based on assumptions about such risks, uncertainties and other factors set out herein.

A discussion of factors that may affect HPS's actual results, performance, achievements or financial position is contained in the filings by HPS with the Canadian securities regulatory authorities, including HPS's Annual Information Form. This list is not exhaustive of the factors that may affect our forward-looking information. These and other factors should be considered carefully and readers should not place undue reliance on such forward-looking information. HPS disclaims any intent or obligations to update or revise publicly any forward-looking statements whether as a result of new information, estimates or options, future events or results or otherwise, unless required to do so by law.

Contact Information

  • Hammond Power Solutions Inc.
    Dawn Henderson
    Manager Investor Relations
    (519) 822-2441 x414