General Mills May Expand Stock Buyback

General Mills Inc., the No. 1 U.S. cereal maker, said it may buy back as many as 170 million common shares, 50 million more than planned, in an effort to boost its stock. The Minneapolis-based company, which had said it may repurchase as many as 120 million shares, said the buyback is intended to reduce the number of shares outstanding by 1% to 2% a year. The company said it already has 110 million treasury shares and had to boost the number of shares eligible for repurchase. General Mills had 303.5 million shares outstanding as of Nov. 28. General Mills Chairman and Chief Executive Steve Sanger said the company may reduce the number of shares outstanding by as much as 6% this fiscal year, he said. General Mills shares have fallen 22% in the last 12 months as supermarket chains and retailers have pushed suppliers for lower food prices.