|CONTACT: Richard R. Current,
Vice President & CFO ,
Neogen continues share repurchase
LANSING, Mich., Aug. 15, 2002 - Neogen
Corporation (Nasdaq: NEOG) announced today that it has resumed its
Company common stock repurchase program. Neogen's Board of Directors
has authorized the Company common stock repurchase of 1,000,000
"This is an opportunity to buy stock
in a company with a long and outstanding record of growth for under
19 times reported earnings," said Richard Current, Neogen's chief
financial officer. "We just reported another record year for revenues
and earnings, and just as we look back on the shares we bought at
$6.00, we will look back on these purchases as an opportune and
wise use of a portion of our cash balances."
Neogen has repurchased 655,000 shares
since its repurchase program began. As with shares already repurchased,
additional shares will be acquired on the open market or in negotiated
transactions, depending on market conditions and other factors.
Accordingly, there is no guarantee as to the exact number of shares
to be repurchased. Currently, there are about 6,100,000 outstanding
shares of Company common stock.
Last month, Neogen announced that
record quarterly revenues in its fourth quarter led the Company
to an annual revenue increase of 18%, and net income of $0.62 per
share for its 2002 fiscal year, which ended May 31. FY 2002 revenues
were $41,097,000, compared to revenues of $34,895,000 in Neogen's
previous fiscal year. Neogen continued its rapid escalation in operating
income, increasing 29% in FY 2002 to $5,500,000, compared to FY
Neogen Corporation develops
and markets products and services dedicated to food and animal safety.
The Company's Food Safety Division markets dehydrated culture media,
and diagnostic test kits to detect foodborne bacteria, natural toxins,
genetic modifications, food allergens, drug residues, plant diseases
and sanitation concerns. Neogen's Animal Safety Division markets
a complete line of diagnostics, veterinary instruments, veterinary
pharmaceuticals and nutritional supplements.
Certain portions of this news release
that do not relate to historical financial information
constitute forward-looking statements. These forward-looking statements
are subject to
certain risks and uncertainties. Actual future results and trends
may differ materially from
historical results or those expected depending on a variety of factors
Management’s Discussion and Analysis of Financial Condition
and Results of
Operations in the Company’s most recently filed Form 10-K.