Homeowners Choice, Inc. (NASDAQ:HCII), a Florida-based provider of homeowners’ insurance, today announced that its board of directors has authorized a plan to repurchase up to $3 million of the company’s common shares over the next year, subject to market conditions.
The plan will permit the company to repurchase shares from time to time for cash in open market purchases, block transactions and privately negotiated transactions in accordance with applicable federal securities laws. Moreover, the share repurchase plan may be modified, suspended, terminated or extended by the company any time without prior notice.
“We believe that the repurchase of Homeowners Choice shares is a wise use of the company's capital and will enhance shareholder value, particularly in this low interest rate environment,” said Paresh Patel, Chairman of the Board of Homeowners Choice.
Homeowners Choice recently reported per share net income of $2.08 based on net income of $12,655,000 for the year 2008. On the balance sheet, the company reported cash and short term investments in excess of $108 million and no significant debt.
About Homeowners Choice, Inc.
Homeowners Choice, Inc. is a Florida-based insurance holding company headquartered in Clearwater, Fla. The company was founded by individuals who were themselves Florida homeowners. Its wholly-owned subsidiary, Homeowners Choice Property & Casualty Insurance Company, Inc., which began operations in July 2007, provides property and casualty homeowners' insurance, condominium owners' insurance and tenants' insurance solely to Florida property owners. The company’s principal executive offices are located at 2340 Drew St., Suite 200, Clearwater, Fla. 33765. More information about Homeowners Choice, Inc. is available at www.hcpci.com.