Company
News
IDT Terminates Stock
Repurchase Program
Santa Clara, Calif., November 6, 1998 – IDT
(Nasdaq: IDTI) today announced that its board of directors has terminated the Company's
stock repurchase program. The program, which was announced on September 21, 1998,
authorized the repurchase of up to 10,000,000 shares of IDT stock. The program was already
approximately 9 percent complete, with 900,000 shares having been repurchased during the
past two months.
"The decision to terminate this program was a result of the
Securities and Exchange Commission’s position on share repurchase programs in Staff
Accounting Bulletin 96 (SAB 96)," explained Alan Krock, IDT’s chief financial
officer. "Specifically, under SAB 96 there are circumstances where companies that
have ongoing stock repurchase programs do will not have the flexibility to employ the
pooling-of-interest accounting method when making acquisitions. We believe that continuing
the program could restrict our ability to pursue the full range of strategic business
development opportunities in which the Company may engage to further enhance our market
position," concluded Krock.
About IDT
IDT enables a digitally connected world by providing innovative
semiconductor solutions to leading-edge designers in communications and computing.
IDT’s broad product mix consists of communications memories, networking devices, both
RISC and x86 microprocessors, high-speed SRAMs and high-performance logic. The
company’s innovative technologies and products take aim at markets expected to exceed
a total of $20 billion in 1998.
Headquartered in Santa Clara, Calif., the company employs approximately
4,800 people worldwide and has manufacturing facilities in California, Oregon, the
Philippines and Malaysia. IDT stock is traded on the Nasdaq stock market under the symbol
"IDTI."
Additional information about IDT is easily accessible through the World
Wide Web (www.idt.com) and CD-ROM by calling 800/345-7015. The investor hotline is
408/654-6420.
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