CAPITAL TRANSACTIONS

9 Months Ended

Sep. 30, 2018

Equity Abstract

CAPITAL TRANSACTIONS

NOTE 8 — Capital transactions

On November 1, 2017, Capstead’s Board of Directors authorized the reinstatement of its previously unused $100 million common stock repurchase program. During the quarter and nine months ended September 30, 2018 the Company repurchased 1.4 million and 4.9 million shares of common stock in the open market for approximately $11.8 million and $41.3 million, respectively (an average repurchase price, including program costs, of $8.25 and $8.50 per share). An additional 140,000 share repurchases settled subsequent to quarter-end for $1.0 million (an average repurchase price, including program costs, of $7.18), leaving a remaining repurchase program authorization of $54.3 million.  Repurchases made pursuant to the program are made in the open market in accordance with and as permitted by securities laws and other legal requirements.  The timing, manner, price and amount of any future repurchases will be determined by the Company in its discretion and will be subject to economic and market conditions, stock price, applicable legal requirements and other factors including alternative capital investment opportunities.  In addition, the Company may enter into Rule 10b5-1 plans under which repurchases can be made. The authorization does not obligate the Company to acquire any particular amount of common stock and repurchases under the program and the program itself may be suspended or discontinued at the Company’s discretion without prior notice.