IFF Announces $750 Million Share Repurchase Program and Increases Dividend by 10 Percent
This dividend increase follows a 14 percent increase to the Company's dividend that was announced in the fourth quarter of 2006. IFF's current policy is to pay an annual dividend in the range of 30 percent - 35 percent of earnings.
26/07/07 International Flavors & Fragrances Inc. , a leading global creator of flavor and fragrance products, announced that its Board of Directors has approved a new program to repurchase up to $750 million worth or 15 percent of its shares, whichever is less, and increased its quarterly dividend to 23 cents per share. The dividend will be payable on October 4, 2007 to shareholders of record as of September 20, 2007.
"IFF has a track record of returning cash to shareholders in the form of share repurchases and dividends. Today's announcement reinforces our commitment to growing our business, delivering on our financial goals and building shareholder value," said Robert M. Amen, Chairman and Chief Executive Officer of IFF.
This buyback authorization permits IFF to effect the repurchases over the next two years through a combination of open market and privately negotiated transactions. A significant portion of the buyback will be completed through an accelerated share repurchase program, which IFF intends to execute this year. This new authorization replaces the Company's existing $300 million repurchase authority, which is 60 percent completed. Funding for the new program will be from existing operating cash flow and incremental borrowings.
This dividend increase follows a 14 percent increase to the Company's dividend that was announced in the fourth quarter of 2006. IFF's current policy is to pay an annual dividend in the range of 30 percent - 35 percent of earnings.
