ST. LOUIS, Aug. 4, 2010 /PRNewswire-FirstCall/ -- Representing its continuing commitment to return value to shareowners, Monsanto Company (NYSE: MON) today announced that its Board of Directors declared an increase in the quarterly dividend on its common shares from 26.5 cents per share to 28 cents per share. The dividend is payable on Oct. 29, 2010 to shareowners of record on Oct. 8, 2010.
Chief Financial Officer Carl Casale said dividends are a key element of Monsanto's approach to using its strong cash position to benefit shareowners.
"The dividend increase leverages Monsanto's cash generation power to reward shareowners, and expresses our confidence in the long-term growth potential of our business," Casale said.
Monsanto's three-pronged approach to using its cash position to benefit its owners revolves around providing direct return through dividends and share repurchases, as well as using cash for strategic acquisitions and capital spending.
In June, Monsanto announced a new three-year share repurchase program, effective July 1, 2010, for up to $1 billion of the company's common stock. Monsanto executives have said the company is positioned for earnings growth in the mid-teen percentages beyond the current fiscal year.