Accelerated share repurchase ((For more see chapter 38 of the Vernimmen)) In an Accelerated share buy-back, the company buys all the shares it plans to buy back in the coming year in just one block from a large investment bank on day one. The investment bank has borrowed most of those shares from investors. After having sold them to the company which will cancel them, the bank will smoothly buy back shares on the market over several weeks or months (so as not to disturb the market)and repay the investors who initially lent it the shares sold to the company. If the bank ends up having bought the shares at a highest price than the one initially paid by the company, then the company pays the difference to the bank. If the bank has bought the shares at a lower price than the one initially received from the company, then the bank pays the difference to the company. An ASB allows a company to communicate a share buyback in a stronger way as it is carried out on day one. The EPS impact takes place immediately and is not gradual over several quarters. Accelerated share repurchase ((For more see chapter 38 of the Vernimmen)) In an Accelerated share buy-back, the company buys all the shares it plans to buy back in the coming year in just one block from a large investment bank on day one. The investment bank has borrowed most of those shares from investors. After having sold them to the company which will cancel them, the bank will smoothly buy back shares on the market over several weeks or months (so as not to disturb the market)and repay the investors who initially lent it the shares sold to the company. If the bank ends up having bought the shares at a highest price than the one initially paid by the company, then the company pays the difference to the bank. If the bank has bought the shares at a lower price than the one initially received from the company, then the bank pays the difference to the company. An ASB allows a company to communicate a share buyback in a stronger way as it is carried out on day one. The EPS impact takes place immediately and is not gradual over several quarters. See all terms in the dictionary of finance To know more about it, look at what we have already written on this subject :

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Definitions of terms begining with the same letter as "Accelerated share repurchase" :

ABS ADR ANAV APE APT APV Abandonment risk Accelerated book-building Accelerated depreciation Accelerated share repurchase Account balancing Accounting criteria of value creation Accounting currency risk Accounting procedures with an impact on earnings Accounts payable Accounts receivable Accretion Accruals Accrued expense Accrued income Acid test ratio Acquisitions Acquisitions Acquisitions Adjustable rate preference shares

Adjustable-rate debt security Adjusted Net Asset Value Adjusted present value, APV Administrative synergy Advance dividend Affirmative covenant Agency costs Agency theory Agent bank Agent fee Agreement in principle All-in cost All-share transaction Alliance Allocative efficiency Alpha Also called order book. Alternative management American Depositary Receipt American option Amortisation Amortisation of the loan Annual Premium Equivalent Annual effective interest rate Annuity

Annuity factor Apparent dilution Appraisal clause Arbitrage Arbitrage pricing theory, APT Arranger Arranging the deal Asset backed commercial paper Asset backed securities Asset beta Asset contribution Asset coverage Asset turnover Assets Associate Associated undertaking Asymmetry - option Asymmetry - shareholder / creditor Asymmetry – issuer/investor At the money Atypical silent partner Auction Auction clause Average life of a bond