LAKE FOREST, Ill. (May 25, 2011)—Tenneco Inc.'s directors have approved the repurchase of up to 400,000 shares of the company's outstanding common stock during the next 12 months.
The program is intended to offset dilution from shares of restricted stock and stock options that were issued in 2011 to employees under Tenneco's long-term compensation plan, the Lake Forest-based automotive supplier said.
Tenneco said it has focused on reducing its borrowing levels and improving its financial flexibility since becoming a stand-alone company. At the end of 2010, Tenneco had reduced its debt net of cash balances by $502 million over the course of the previous 10 years. While debt reduction remains a priority, the company is now in a position to expand its options for using cash.