Carter’s, Inc. announced that as part of its efforts to improve the Company’s capital structure and return capital to shareholders, it has entered into agreements with JPMorgan Chase Bank, N.A., to repurchase USD 400 million of its common shares under an accelerated share repurchase (ASR) program. The Company will acquire these common shares under the USD 700 million share repurchase authorization announced on August 22, 2013.

The Company expects to receive approximately 75 per cent of the shares at the inception of the ASR program. The specific number of shares that the Company ultimately will repurchase will be determined at the completion of the ASR program, based generally on the daily volume-weighted average share price of the Company’s common stock during a period of up to eight months, less an agreed discount and, with respect to USD 100 million of the ASR program, subject to provisions that establish a minimum and maximum number of repurchased shares. At settlement, the Company will either be entitled to receive additional shares of common stock or, under certain circumstances, be required to remit a settlement amount, payable, at the Company’s option, in cash or common stock. All common shares repurchased under the accelerated share repurchase program will be retired.