Corning Incorporated’s (NYSE: GLW) Board of Directors today declared a quarterly dividend of $0.12 per share, a 20% increase in the company’s quarterly common stock dividend.
The 2015 first-quarter dividend is payable on March 31, 2015, to shareholders of record on Feb. 27, 2015. The board of directors also authorized a new $1.5 billion share repurchase program. This new share repurchase program expires at the end of 2016.
“We believe that our eight consecutive quarters of core earnings growth are proof that our strategy and quality of execution are working. Corning has become a larger, more stable company, and a consistent cash generator. The board’s actions today demonstrate our commitment to share this success with our shareholders directly,” Wendell P. Weeks, chairman, chief executive officer and president, said.
“Corning’s strong financial performance allows us to continue funding our innovation and growth portfolios and distribute cash to shareholders. We expect to increase dividends commensurate with improvements in future operating performance, and to devote our future excess free cash flow to additional share repurchase programs,” Weeks said.
“Today’s announcement underscores the board’s commitment to sustaining and enhancing shareholders’ value,” James B. Flaws, vice chairman and chief financial officer, said. “Starting in October of 2011, the board has increased the dividend four times and initiated four share repurchase programs totaling $7 billion.”
Forward-Looking and Cautionary Statements
This press release contains “forward-looking statements” (within the meaning of the Private Securities Litigation Reform Act of 1995), which are based on current expectations and assumptions about Corning’s financial results and business operations, that involve substantial risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include: the effect of global political, economic and business conditions; conditions in the financial and credit markets; currency fluctuations; tax rates; product demand and industry capacity; competition; reliance on a concentrated customer base; manufacturing efficiencies; cost reductions; availability of critical components and materials; new product commercialization; pricing fluctuations and changes in the mix of sales between premium and non-premium products; new plant start-up or restructuring costs; possible disruption in commercial activities due to terrorist activity, armed conflict, political or financial instability, natural disasters, adverse weather conditions, or major health concerns; adequacy of insurance; equity company activities; acquisition and divestiture activities; the level of excess or obsolete inventory; the rate of technology change; the ability to enforce patents; product and components performance issues; retention of key personnel; stock price fluctuations; and adverse litigation or regulatory developments. These and other risk factors are detailed in Corning’s filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the day that they are made, and Corning undertakes no obligation to update them in light of new information or future events.
About Corning Incorporated
Corning (www.corning.com) is one of the world’s leading innovators in materials science. For more than 160 years, Corning has applied its unparalleled expertise in specialty glass, ceramics, and optical physics to develop products that have created new industries and transformed people’s lives. Corning succeeds through sustained investment in R&D, a unique combination of material and process innovation, and close collaboration with customers to solve tough technology challenges. Corning’s businesses and markets are constantly evolving. Today, Corning’s products enable diverse industries such as consumer electronics, telecommunications, transportation, and life sciences. They include damage-resistant cover glass for smartphones and tablets; precision glass for advanced displays; optical fiber, wireless technologies, and connectivity solutions for high-speed communications networks; trusted products that accelerate drug discovery and manufacturing; and emissions-control products for cars, trucks, and off-road vehicles.