MILWAUKEE, Wis.--(BUSINESS WIRE)--The IBM (NYSE: IBM) board of directors today declared a regular quarterly cash dividend of $0.65 per common share, payable June 10, 2010 to stockholders of record May 10, 2010.
Today’s dividend declaration represents an increase of $0.10, or 18 percent higher than the prior quarterly dividend of $0.55 per common share.
IBM has increased its quarterly dividend over 330 percent since 2003. This is the 15th year in a row that IBM has increased its quarterly cash dividend, and 7th 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 $2.0 billion remaining at the end of March from a prior authorization. With this new authorization, IBM will have approximately $10.0 billion for its stock repurchase program. IBM expects to request additional share repurchase authorization at the October 2010 board meeting.
Samuel J. Palmisano, IBM chairman, president and chief executive officer said “Our superior cash flow enables us to invest in the business and generate substantial returns to investors. Since 2003, more than $80 billion was returned through dividends and share repurchase. Our commitment to delivering value to shareholders has never wavered.”