CAMBRIDGE, ON, April 12 /CNW/ - ATS Automation Tooling Systems Inc. todayannounced that it is exercising an option to re-purchase certain commonshares held by 566226 Ontario Limited, a holding company controlled by theestate of the late Mr. Klaus Woerner, past President and CEO of theCorporation. ATS will purchase for cancellation 1,974,723 shares from 566226 OntarioLimited, representing 3.2% of ATS's total common shares outstanding as atDecember 31, 2004.
The purchase is taking place at a price of $12.66 pershare, being the "market price" of those shares as determined in accordancewith the option agreement made in 1998 and the regulations under theSecurities Act (Ontario). The total purchase price of $24,999,993.18 will befunded by life insurance proceeds of $25 million received by the Corporationunder a life insurance policy that had been maintained since 1998 in respectof Mr. Woerner and which was established in conjunction with the initiation ofthe option agreement.
"We believe the purchase of these shares is an excellent investment,"said Ron Jutras, ATS President and Chief Executive Officer. "At the same, thecash proceeds from the life insurance policy allow ATS to complete thistransaction without impacting our strong balance sheet."
Corporate Description
ATS Automation Tooling Systems Inc. ( www.atsautomation.com ) is theindustry's leading designer and producer of turn-key automated manufacturingand test systems, which are used primarily by multinational corporationsoperating in a variety of industries including: automotive,computer/electronics, healthcare, and consumer products. ATS is also anemerging leader in the rapidly growing market for solar energy cells andmodules and makes precision components and subassemblies using its own custom-built manufacturing systems, process knowledge and automationtechnology.
ATS employs approximately 4,000 people at 26 manufacturingfacilities in Canada, the United States, Europe and Asia-Pacific. TheCompany's shares are traded on The Toronto Stock Exchange under the symbolATA.
