Lexmark International, Inc. (NYSE: LXK) today announced that its board of directors has approved a regular quarterly cash dividend program.
“With Lexmark’s strong liquidity position and long history of solid cash generation, we feel confident that we can continue to pursue acquisitions to support the growth of the company while returning excess cash to our shareholders via the initiation of a quarterly dividend and through our share repurchase program,” said Paul Rooke, Lexmark chairman and chief executive officer. “The initiation of a quarterly dividend reflects our confidence in the future of the business and our commitment to generating value for our shareholders.”
The initial cash dividend of $0.25 per share will be paid on Nov. 30, 2011, to shareholders of record as of the close of business on Nov. 15, 2011. The quarterly rate represents an annualized dividend of $1.00 per share, which equates to a yield of approximately 3.2 percent based on the company’s stock price as of today’s close of trading.
Future declarations of dividends are subject to board of director approval and may be adjusted as business needs or market conditions change. The company also repurchased $125 million of Lexmark shares in the third quarter of 2011 and anticipates repurchasing an additional $125 million of Lexmark shares in the fourth quarter of 2011.
Conference Call Tomorrow
The company will be hosting a conference call with securities analysts tomorrow at 8:30 a.m. (EDT). A live broadcast and a complete replay of this call can be accessed from Lexmark’s investor relations website at http://investor.lexmark.com. If you are unable to connect to the Internet, you can access the call via telephone at 888-693-3477 (outside the U.S. by calling 973-582-2710) using access code 22914996.
Lexmark’s dividend and share repurchase presentation slides will be available on Lexmark’s investor relations website prior to the live broadcast.
Lexmark International, Inc. (NYSE: LXK) provides businesses of all sizes with a broad range of printing and imaging products, software, solutions and services that help customers to print less and save more. Perceptive Software, a stand-alone software business within Lexmark, is a leading provider of enterprise content management software that helps organizations easily manage the entire lifecycle of their documents and content, simplifying their business processes, and fueling greater operational efficiency. In 2010, Lexmark sold products in more than 170 countries and reported more than $4 billion in revenue.
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