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Intel Announces 25 Percent Cash Dividend Increase And Authorizes $25 Billion In Share Repurchase
Intel Announces 25 Percent Cash Dividend Increase And Authorizes $25 Billion In Share Repurchase
SANTA CLARA, Calif., Nov. 10, 2005 Intel Corporation today announced that its board of directors has approved a 25 percent increase in the quarterly cash dividend to 10 cents per share beginning with the dividend that will be declared in the first quarter of 2006. The Intel board also authorized the repurchase of up to $25 billion in shares of common stock under the companys ongoing stock repurchase program.Intels investments in R&D and capital are enabling the company to post its third consecutive year of double-digit revenue growth, said Paul Otellini, Intel president and CEO. At the same time, we are returning record amounts of cash to our stockholders with one of the highest dividend yields in the technology industry and one of the largest share buyback programs of any company. Todays announcement signals our confidence in the growth, earnings and cash generating potential of our business.
Company Online Stock Trading Intel began paying a cash dividend in 1992 and has paid out approximately $5.8 billion to its stockholders over the past 52 quarters. Intel cash dividends for 2005 will total approximately $2 billion.
Intuit also announced today a new stock repurchase program authorizing the purchase of up to $600 million of Intuit stock over the next three years. Intuit used all remaining funds in its last $800 million repurchase program, authorized in May 2007, quarter 2008, which ended on April 30. Since authorizing its first stock repurchase program in May 2001, Intuit has spent approximately $4.5 billion to repurchase approximately 186 million shares of its stock.
Online Trading Stock And Since the companys stock buyback program began in 1990, Intel has repurchased approximately 2.5 billion shares for about $49 billion. For the first three quarters of this year, Intel repurchased over 300 million shares at a cost of approximately $7.5 billion, which compares to $7.5 billion in repurchases for all of 2004, the previous record for a full year. The average number of Intel common shares outstanding declined by over 10 percent from their peak during 1998 to approximately 6.1 billion as of the end of the third quarter of this year.
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Stock Investing Course As of the end of the third quarter, approximately 313 million
shares of stock remained available for repurchase under previous
authorizations expressed in share amounts, representing
approximately $7.8 billion of stock at the current stock price
level. The boards authorization to repurchase up to $25 billion in
shares includes this $7.8 billion of shares available for
repurchase under previous authorizations.
Risk Factors Regarding Forward-Looking Statements
Where is uBid, Inc. traded Shares of our common stock are listed on The NASDAQ OTC Bulletin Board under the symbol "UBHI.ob" How can I invest in uBid.com You can purchase stock in our company through a brokerage or the stock purchase service of your choice. Does uBid.com pay a cash dividend No, we have never declared or paid a cash dividend nor do we expect to pay any dividends in the foreseeable future.
Stock System Trading The statements in this document that refer to plans and expectations for the fourth quarter, the current year, 2006 and the future are forward-looking statements that involve a number of risks and uncertainties. Dividend declarations, the dividend rate and the scope of the stock buyback program are at the discretion of Intels Board of Directors, and plans for future dividends and buybacks may be revised by the Board. Many factors could affect Intels financial results which could potentially impact Intels dividend and stock buyback programs, and variances from Intels current expectations regarding such factors could cause actual results to differ materially from those expressed in these forward-looking statements. Intel presently considers the factors set forth below to be the important factors that could cause actual results to differ materially from Intels published expectations. A more detailed discussion of factors that could affect Intels results is contained in Intels SEC filings, including the report on Form 10-Q for the quarter ended Oct. 1, 2005.
There are other ways to invest in stocks. Dividend Reinvestment Plans (DRIPS) allow you to buy a single share of stock. As that share earns dividends, those dividends are used to buy additional shares. There are index mutual funds, in which you own a little bit of every stock traded on a particular index. There are also traditional mutual funds, made up of an array of stocks across many industries.
Stock Investing Game * Intel operates in intensely competitive industries. Intels
results could be affected by the demand for and market acceptance
of Intels products, manufacturing yields and the availability of
sufficient inventory to meet demand, pricing pressures and actions
taken by our competitors, the timing of new product introductions
and the timing and execution of the manufacturing ramp. Factors
that could cause demand to be different from Intels expectations
include changes in customer order patterns, including order
cancellations, changes in the level of inventory at customers, and
changes in business and economic conditions.
* Intels results could be impacted by unexpected economic, social
and political conditions in the countries in which Intel, its
customers or its suppliers operate, including
security risks, possible
infrastructure disruptions and fluctuations in foreign currency
exchange rates.
* Intels dividend and stock buyback programs could be affected by
changes in its capital spending programs, changes in its cash flows
and changes in tax laws, as well as by the level and timing of
acquisition and investment activity.
* Intels results could also be affected by adverse effects
associated with product defects and errata (deviations from
published specifications), and by litigation or regulatory matters
involving intellectual property, stockholder, consumer, antitrust
and other issues, such as the litigation and regulatory matters
described in Intels SEC reports.
The company has consistently used its free cash flow (cash flow from operations less capital expenditures) generated from its operations to return value to shareholders. This is primarily achieved through share repurchases and dividends. For the twelve months ended December 31, 2006, the company paid $35.4 million of cash dividends to shareholders. The annual dividend rate per common share was increased 15% by the Board of Directors in September 2006 and is now $0.60.
Market Stock Trading Intel, the world's largest chip maker, is also a leading manufacturer of computer, networking and communications products. Additional information about Intel is available at www.intel.com/pressroom.
Online Stock Trading Canada Intel is a trademark or registered trademark of Intel Corporation or its subsidiaries in the United States and other countries.
Stock Investing Basics * Other names and brands may be claimed as the property of others.
Day Online Stock Trading Source: Intel
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