Jones Lang LaSalle


TCC Firing Up $50M Stock Repurchase
By Connie Gore
Last updated: February 23, 2006 10:11am

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DALLAS-After buying $58 million of its stock in the past 18 months, Trammell Crow Co. is planning to repurchase another $50 million. The buying window could open as early as tomorrow.

Derek McClain, TCC's CFO, tells GlobeSt.com that the sale sets up "an accretive impact" to boost earnings per share for stockholders who hold fast to their investments. If the sale begins tomorrow, the window will close in early March, he says, adding TCC execs will decide later if they want to exercise an extension option.

TCC has 36.88 million outstanding shares of common stock. It opened at $32.80 per share this morning on the NYSE. At today's price, TCC could repurchase more than 1.5 million shares.
The decision came one day after TCC's quarterly earnings call when executives responded to a question that an additional repurchase wasn't in the cards. McClain didn't say what caused the change in attitude, but did say the acquisition could include large blocks from privately held pools. "We think the EPS will go up as a result," he says. "We think it's a good investment." TCC plans to finance the repurchase with cash generated from operations and its line of credit.