Amazon board approves stock, convertibles buyback

By Susanna Moon

Chicago, Feb. 8 - Amazon.com, Inc. said its board of directors authorized a debt repurchase program to redeem or retire its outstanding 4.75% convertible subordinated notes due 2009 and 6.875% convertible subordinated notes due 2010.

The program replaces a $500 million debt repurchase authorization dating from February 2006, according to a press release.

About $899 million principal amount of the 4.75% convertibles is outstanding and €240 million principal amount of the 6.875% convertibles.

The Seattle-based internet retailer also said its board approved buying back up to $1 billion of common stock in the next 24 months through one or more open market offerings, private placements and structured deals through investment banks.

Amazon said the program allows the company to opportunistically repurchase shares to enhance long-term shareholder value. The stock repurchase program replaces an April 2007 $500 million authorization.

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