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Royal Bank of Canada to Repurchase up to 30
million of its Common Shares
TORONTO, October 26, 2012 - Royal Bank of Canada (“RY”
on TSX and NYSE) today announced that the Toronto Stock Exchange
has approved its normal course issuer bid to purchase, for
cancellation, up to 30 million of its common shares.
The shares that may be repurchased represent approximately
2.1 per cent of the bank’s outstanding common shares.
As of October 18, 2012 there were 1,455,019,255 common shares
of the bank outstanding.
Purchases under the normal course issuer bid may commence
on November 1, 2012 and continue until October 31, 2013, when
the bid expires. Purchases may be made through the Toronto
Stock Exchange as well as through other designated exchanges
and published markets, in both Canada and the U.S. The price
paid for any repurchased shares will be the prevailing market
price at the time of acquisition.
The bank will only initiate purchases under the bid after
consulting with the Office of the Superintendent of Financial
Institutions (OSFI). The amount of purchases on any given
day will not exceed 634,500 common shares, which is 25 per
cent of the average daily trading volume on the Toronto Stock
Exchange for the six months ending September 28, 2012. The
average daily trading volume of the bank’s shares on
the Toronto Stock Exchange for that six-month period, calculated
in accordance with the rules of the Toronto Stock Exchange
for the purposes of the bid, was 2,538,255 shares.
The purchase of common shares under the normal course issuer
bid will enable the bank to balance the imperatives of maintaining
strong capital ratios with the ongoing need to generate shareholder
value.
CAUTION REGARDING FORWARD-LOOKING STATEMENTS
Certain statements contained in this press release may be
deemed to be forward-looking statements within the meaning
of certain securities laws, including the “safe harbour”
provisions of the United States Private Securities Litigation
Reform Act of 1995 and any applicable Canadian securities
legislation. These forward-looking statements include, but
are not limited to, statements with respect to the normal
course issuer bid by Royal Bank of Canada. Forward-looking
statements are typically identified by words such as “believe”,
“expect”, “foresee”, “forecast”,
“anticipate”, “intend”, “estimate”,
“goal”, “plan” and “project”
and similar expressions of future or conditional verbs such
as “will”, “may”, “should”,
“could” or “would”.
By their very nature, forward-looking statements require
us to make assumptions and are subject to inherent risks and
uncertainties, which give rise to the possibility that our
predictions, forecasts, projections, expectations or conclusions
will not prove to be accurate, that our assumptions may not
be correct and that our forward-looking statements, including
statements about the normal course issuer bid by Royal Bank
of Canada, will not be achieved. We caution readers not to
place undue reliance on these statements as a number of risk
factors could cause our actual results to differ materially
from the expectations expressed in such forward-looking statements.
These factors – many of which are beyond our control
and the effects of which can be difficult to predict –
include: credit, market, operational, and liquidity and funding
risks, and other risks discussed in the Risk management and
Overview of other risks sections of our 2011 Annual Report
and in the Risk management section of our Q3 2012 Report to
Shareholders; general business, economic and financial market
conditions in Canada, the United States and certain other
countries in which we conduct business, including the effects
of the European sovereign debt crisis, changes in accounting
standards, policies and estimates; the effects of changes
in government fiscal, monetary, economic and other policies;
changes to and new interpretations of risk-based capital and
liquidity guidelines; the impact of changes in laws and regulations;
judicial or regulatory judgments and legal proceedings; and
our ability to successfully execute our strategies.
We caution that the foregoing list of risk factors is not
exhaustive and other factors could also adversely affect our
results. When relying on our forward-looking statements to
make decisions with respect to us, investors and others should
carefully consider the foregoing factors and other uncertainties
and potential events. Additional information about these and
other factors can be found in the Risk management and Overview
of other risks sections of our 2011 Annual Report and in the
Risk management section of our Q3 2012 Report to Shareholders.
Except as required by law, we do not undertake to update any
forward-looking statement contained in this press release.
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Investor Contact:
Karen McCarthy,
Investor Relations,
416-955-7809, karen.mccarthy@rbc.com
Media Contact:
Tanis (Robinson) Feasby,
Corporate Communications,
416-955-5172, tanis.feasby@rbc.com
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