Midland, Michigan and Wilmington, Delaware, USA
November 2, 2017
DowDuPont (NYSE: DWDP) today announced that its Board of Directors has declared a fourth quarter dividend of 38 cents per share. The Company also announced that its Board has approved an initial $4 billion share repurchase program.
“Rewarding our owners over both the near- and long-term has been a top priority for both legacy companies, and it remains so for DowDuPont,” said Andrew Liveris, executive chairman of DowDuPont. “The Board considered many factors in making these decisions, following an approach that delivers benefits to both heritage Dow and DuPont shareholders.”
“We’re committed to returning cash to shareholders consistent with the heritage of both Dow and DuPont, and to preserving the financial flexibility to achieve the target capital structures to support the strong independent companies we intend to create,” said Ed Breen, chief executive officer of DowDuPont.
Dividend
DowDuPont’s dividend for the fourth quarter of 2017 will be payable on Dec. 15, 2017, to shareholders of record on Nov. 15, 2017. The Company’s Board approved an approach that benefits DowDuPont shareholders in the following ways:
- The fourth quarter dividend of 38 cents per share is consistent with the targeted historic dividend payout ratios of each heritage company and is equivalent to the weighted average quarterly dividend of both heritage companies, based on the most recent pre-closing dividends.
- With a dividend payable date in December 2017, heritage Dow shareholders will receive a total of five dividend payments in the calendar year, in aggregate representing a 21 percent increase in dividends paid in 2017 versus 2016.
- For heritage DuPont shareholders, this dividend will effectively represent a 28 percent increase over the last DuPont quarterly dividend payment1.
This marks the first cash dividend issued by DowDuPont. Prior to merger close, Dow and DuPont had paid shareholders cash dividends every quarter since 1912 and 1904, respectively.
Share Repurchase
The Board authorized an initial $4 billion share repurchase program, which has no expiration date.
Under the share repurchase program, shares may be repurchased periodically in open market or private transactions. The actual timing, number and value of shares repurchased under the program will be determined by management at its discretion and will depend on a number of factors, including the market price of DowDuPont’s common stock, general market and economic conditions, applicable legal requirements and other business considerations.
About DowDuPont
DowDuPont (NYSE: DWDP) is a holding company comprised of The Dow Chemical Company and DuPont with the intent to form strong, independent, publicly traded companies in agriculture, materials science and specialty products sectors that will lead their respective industries through productive, science-based innovation to meet the needs of customers and help solve global challenges. For more information, please visit us at www.dow-dupont.com.
(1) Based on the merger stock conversion rate of 1.282 DowDuPont shares for each DuPont share.
Topics
Species
