Company Advances Timing to Achieve Leverage Ratio Target to End
of Fiscal Year 2017
Wild Wings, Inc. (NASDAQ: BWLD), today announced that its Board of
Directors has authorized an increase to its share repurchase program for
an additional $400 million of the company's common stock, bringing the
cumulative authorizations to $900 million. The company also announced
that it has advanced its intended timing to achieve a leverage ratio
target of 1.5 times debt to EBITDA to the end of fiscal 2017.
Previously, the company had targeted achieving this leverage ratio
target by the end of fiscal 2018.
Sally Smith, president and chief executive officer, said, "The
additional share repurchase authorization and accelerated timing of our
targeted leverage ratio reflect our focus on rebalancing our debt and
equity to optimize our cost of capital. Our confidence in our company's
growth and cash flow generation potential allows us to meet our
commitment of delivering value to all Buffalo Wild Wings shareholders."
Buffalo Wild Wings repurchased approximately $127 million of common
stock, representing 827,639 shares, during the fourth quarter of fiscal
2016 under the authorization announced in August 2016. As of December
25, 2016, the company had $242 million under the authorization. The
company intends to fund the program with a combination of cash and debt.
Under the increased share repurchase program, purchases may be completed
from time to time in the open market or in privately negotiated
transactions, subject to applicable laws and regulations.
About the Company
Buffalo Wild Wings, Inc., founded in 1982 and headquartered in
Minneapolis, is a growing owner, operator and franchisor of Buffalo Wild
Wings® restaurants featuring a variety of boldly-flavored, made-to-order
menu items including its namesake Buffalo, New York-style chicken wings.
The Buffalo Wild Wings menu specializes in 21 mouth-watering signature
sauces and seasonings with flavor sensations ranging from Sweet BBQ™ to
Blazin'®. Guests enjoy a welcoming neighborhood atmosphere that includes
an extensive multi-media system for watching their favorite sporting
events. Buffalo Wild Wings is the recipient of hundreds of "Best Wings"
and "Best Sports Bar" awards from across the country. There are
currently more than 1,220 Buffalo Wild Wings locations around the world.
To stay up-to-date on all the latest events and offers for sports fans
and wing lovers, like Buffalo Wild Wings on Facebook, follow @BWWings on
Twitter and visit www.BuffaloWildWings.com.
Statements in this press release constitute forward-looking statements
for purposes of the Safe Harbor provisions under the Private Securities
Litigation Reform Act of 1995. These statements relate to purchases of
shares, sources of funds for the same, and leverage ratio targets. All
statements other than statements of historical fact are statements that
could be deemed forward-looking statements and are based upon the
current beliefs and expectations of our management. We have attempted to
identify forward-looking statements by words such as, "intends," "may,"
and other comparable terminology. Actual results may vary materially
from those contained in forward-looking statements based on a number of
factors, including, but not limited to, our ability to achieve and
manage our planned expansion, the ability of our franchisees to open and
manage new restaurants, market acceptance in the new geographic regions
we enter (particularly non-U.S. locations), success of acquired
restaurants, success of investments in new or emerging concepts,
unforeseen obstacles in developing nontraditional sites or non-U.S.
locations, our ability to obtain and maintain licenses and permits
necessary to operate our existing and new restaurants, our franchisees'
adherence to our system standards, the cost of commodities such as
traditional chicken wings and supply chain consistency, the success of
our key initiatives and our advertising and marketing campaigns, our
ability to control restaurant labor and other restaurant operating
costs, the continued service of key management personnel, our ability to
protect our name and logo and other proprietary information, economic
conditions (including changes in consumer preferences or consumer
discretionary spending), the impact of federal, state or local
government regulations relating to our employees, the sale of food and
alcoholic beverages, the effect of competition in the restaurant
industry, our ability to increase our credit facilities, and other
factors disclosed from time to time in our filings with the U.S.
Securities and Exchange Commission, including the factors described
under "Risk Factors" in Part I, Item 1A of our Annual Report on Form
10-K for the fiscal year ended December 27, 2015, as updated in
subsequent reports filed with the SEC. Investors should take such risks
into account when making investment decisions. Shareholders and other
readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date on which
they are made. We undertake no obligation to update any forward-looking
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Buffalo Wild Wings, Inc.
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Source: Buffalo Wild Wings, Inc.
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