CALGARY, June 23, 2014 /CNW/ - Imperial Oil Limited today
announced it has received final acceptance from the Toronto Stock
Exchange for a new normal course issuer bid to continue its
existing share repurchase program facility that will expire on
June 24, 2014.
In December 2002, Imperial
introduced a restricted stock unit plan pursuant to which shares
may be issued upon vesting. Since there could be a dilution in the
percentage ownership levels of shareholders that would result from
the issue of shares on the vesting of restricted stock units,
Imperial considers that it would be in the best interests of
Imperial and its shareholders to proceed with the purchase of
shares in the market to reduce or eliminate such dilution. Imperial
will limit the number of shares to be purchased pursuant to the
normal course issuer bid to fewer than 1,000,000 common shares. As
of June 13, 2014, Imperial has
847,599,011 issued and outstanding common shares.
Exxon Mobil Corporation, Imperial's majority shareholder, will
also be permitted to sell its shares to Imperial outside the
provisions of, but concurrently with, the normal course issuer bid
in order to maintain its proportionate share ownership at 69.6
percent in the event that Imperial repurchases shares in excess of
those required to off-set the dilutive impact of the restricted
stock unit plan. Exxon Mobil Corporation has advised Imperial that
it intends to participate, as it has in prior years.
The new one year program will begin on June 25, 2014, and will end when the company has
purchased the maximum allowable number of shares, or on
June 24, 2015. All share purchases
will be made through the facilities of the Toronto Stock Exchange
as well as through other designated exchanges and published markets
in Canada. Shares purchased under
the normal course issuer bid and from Exxon Mobil Corporation are
restored to the status of authorized but unissued shares.
No share repurchases have been made under the existing program.
Imperial's daily trading limit under the new program will be
142,949 shares, which represents 25 percent of Imperial's daily
trading volume.
After more than a century, Imperial continues
to be an industry leader in applying technology and innovation to
responsibly develop Canada's
energy resources. As Canada's
largest petroleum refiner, a major producer of crude oil and
natural gas, a key petrochemical producer and a leading fuels
marketer from coast to coast, our company remains committed to the
highest standards across all areas of our business.
SOURCE Imperial Oil Limited