Treasury Shares

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Related to Treasury Stocks: Treasury bonds

Treasury Shares

Shares issued in the name of the corporation. The shares are considered issued, but not outstanding.Usually refers to stock that was once traded in the market but has since been repurchased by the corporation. Treasury stock not considered when calculating dividends or earnings per share.

Treasury Shares

Stock that a publicly-traded company issues but does not place with investors, or which it has bought back from shareholders. That is, the company holds its treasury shares back until such time as selling them becomes beneficial. Treasury shares have been issued, but they are not considered shares outstanding. Selling treasury shares to the public can be a less expensive way for the company to raise capital because the amount it spent issuing them previously is a sunk cost. Treasury shares are not included in "per share" calculations.
References in periodicals archive ?
The total value of the treasury stock held by all these companies as of June 30, 2009 was about Rs 32,798 crore.
Treasury stock comes into play in the case of mergers and acquisitions (M&A) wherever there is involvement of 'crossholding' between the acquiring company and target company.
Globally, treasury stock may also get created due to the 'buyback' of shares.
But the sources the coalition task force in charge of the legislation needs to work more on the treasury stock system before the bill is read to go to parliament.
According to the merchant bankers, it is the largest treasury stock sale in the country and the second- largest deal pushed through accelerated global tender ( AGT).
The sluggish performance of the stock markets prompted the ruling Liberal Democratic Party to take up a proposal that the introduction of treasury stocks be permitted as a way to support share prices.
But Justice Minister Masahiko Komura, former head of the Economic Planning Agency, expressed a qualified willingness to remove a legal limit on the use of treasury stock to reversing the plunging stock market.
shares for such purposes as retiring them, it bans the use of treasury stock to jack up share prices.