NORTH CHARLESTON, S.C.--(BUSINESS WIRE)--The IBM (NYSE: IBM) board of directors today declared a regular quarterly cash dividend of $0.85 per common share, payable June 9, 2012 to stockholders of record May 10, 2012.
Today’s dividend declaration represents an increase of $0.10, or 13 percent higher than the prior quarterly dividend of $0.75 per common share.
This is the 17th year in a row that IBM has increased its quarterly cash dividend, and the ninth year in a row of double-digit percent increases. IBM has increased its dividend by over 600 percent since the beginning of 2000.
With the payment of the June 9th dividend, IBM will have paid consecutive quarterly dividends every year since 1916.
The board today also authorized $7 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 $5.7 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 2012 board meeting. IBM has reduced its share count by a third since the beginning of 2000.
Ginni Rometty, IBM president and chief executive officer said “We continue in our commitment to deliver value to our shareholders. Since 2000, we have returned over $137 billion to shareholders in the form of dividends and share repurchases. At the same time, we continue to invest in capital expenditures, acquisitions and research and development, to keep IBM at the forefront of innovation.”