IBM to spend $5 bn more on stock buyback

SAN FRANCISCO, USA: IBM Corp., the world’s largest computer-services provider, has boosted its stock buyback program by $5 billion, a sign of the company's ability to spit out cash despite the recession choking off revenue growth.

The increase, following the stock’s 43 per cent jump this year, adds to the $4.2 billion left in IBM’s original buyback program at the end of September, IBM said in a statement on Tuesday. This brings IBM's pot for stock repurchases to $9.2 billion, according to media reports.

IBM may ask for more stock buyback at a board meeting in April 2010. The company has spent $73 billion on dividends and buybacks since 2003.