SAN FRANCISCO — (BUSINESS WIRE) — March 14, 2011 — HP (NYSE: HPQ) today outlined its goal for future annual dividend increases and announced that the HP board of directors has authorized an increase in HP’s regular quarterly dividend. The announcements were made at the company’s Strategy Summit being held in San Francisco.
The amount of future dividend increases will be determined annually, but HP currently intends for the year-over-year percentage increase to be in the double digits. All future dividends are subject to approval by HP’s board of directors.
Additionally, the company’s board of directors has authorized a 50 percent increase in the amount of its regular quarterly dividend to $0.12 per share.
The increase in the amount of the dividend will be effective when the HP board of directors declares HP’s next dividend, which is expected to occur in May. The company’s previously announced dividend payable on April 6 for stockholders of record on March 16 will not be increased and will remain at $0.08 per share.
“HP is committed to a disciplined approach to capital allocation,” said Cathie Lesjak, executive vice president and chief financial officer, HP. “Our first priority is to invest capital back in the business for both growth and efficiencies. In addition, we have the financial strength to return capital to our stockholders.”
HP has approximately 2.2 billion shares of common stock outstanding.
At the company event in San Francisco, Apotheker outlined his vision for the strategic direction for HP. More information is available at www.hp.com/go/summit2011content.
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© 2011 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice. HP shall not be liable for technical or editorial errors or omissions contained herein.