IBM raises dividend, sets five billion dollar share buyback

0 Comments | AFP, April, 2005

NEW YORK (AFP) — IBM, moving to please shareholders as they gathered for its annual meeting, raised its quarterly dividend while announcing a share buyback worth up to five billion dollars.

The board of the Armonk, New York-based computer giant voted to increase the dividend 11.1 percent from its previous quarterly payout of 18 cents share.

In addition, the board approved a five billion dollar buyback plan in what IBM said would be the largest stock-repurchase authorization in company history.

IBM's shares have been under pressure lately, after the company reported a shortfall in announcing its first-quarter results on April 14.

IBM's buyback, in which shares will be repurchased on the open market and through private transactions, comes of the heels...