IBM Board Approves 15 Percent Increase in Quarterly Cash Dividend;
Authorizes $8.0 Billion for Stock Repurchase
The IBM (NYSE: IBM) board of directors today declared a regular
quarterly cash dividend of $0.75 per common share, payable June 10, 2011
to stockholders of record May 10, 2011.
Today’s dividend declaration represents an increase of $0.10, or 15
percent higher than the prior quarterly dividend of $0.65 per common
IBM has increased its quarterly dividend 400 percent since 2003. This is
the 16th year in a row that IBM has increased its quarterly
cash dividend, and 8th year in a row of double-digit percent increases.
With the payment of the June 10th dividend, IBM will have paid
consecutive quarterly dividends every year since 1916.
The board today also authorized $8 billion in additional funds for use
in the company’s stock repurchase program. IBM will repurchase shares on
the open market or in private transactions from time to time, depending
on market conditions.
This amount is in addition to approximately $4.7 billion remaining at
the end of March from a prior authorization. With this new
authorization, IBM will have approximately $12.7 billion for its stock
repurchase program. IBM expects to request additional share repurchase
authorization at the October 2011 board meeting.
Samuel J. Palmisano, IBM chairman, president and chief executive officer
said “Since 2003, we have returned over $100 billion to shareholders in
the form of dividends and share repurchases, while continuing to invest
in capital expenditures, acquisitions and research and development. Our
commitment to delivering value to our shareholders remains as important
today, as it has ever been.”
Doug Shelton, 914-255-8115Doug Shelton, 914-255-8115