GENEVA, March 14, 2011 /PRNewswire/ -- The Supervisory Board of STMicroelectronics (NYSE: STM) approved the management proposal to submit to the forthcoming 2011 Annual General Meeting of Shareholders the distribution of an annual cash dividend of US$0.40 per outstanding share of the Company's common stock, payable in four equal quarterly installments. The proposed dividend equals a 3.2% yield on the Company's share price at closing on Friday, March 11, on the NYSE and compares to the annual dividend of US$0.28 per share declared last year.
The proposal will be submitted for shareholder approval at the Company's Annual General Meeting, which will be held in Amsterdam on May 3, 2011. Upon approval, the dividends will be paid in four equal quarterly installments in May, August and December 2011, and February 2012 to shareholders of record in the month of each quarterly payment. The first payment date will be on May 26 for the European stock exchanges and on May 31 for the NYSE. (For additional details on the dividend payment and ex-dividend dates, please refer to the table below).
"Over the last two years the semiconductor industry went through a severe downturn and market recovery. STMicroelectronics exited the period with a much stronger product and customer portfolio, amid continued R&D effort, and improving the Company's net financial position by $1.7 billion," said Carlo Bozotti, President and CEO of STMicroelectronics. "Our results so far, including the sale of our Flash memory business, and our confidence in the Company's business prospects set the foundation to increase our dividend as a part of our continued strategy to enhance value for our shareholders, while investing for future growth and protecting a solid capital structure."
Some of the statements contained in this release that are not historical facts are statements of future expectations and other forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933 or Section 21E of the Securities Exchange Act of 1934, each as amended) based on management's current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those in such statements. Such forward-looking statements can be identified by the use of forward-looking terminology such as "believes," "may," "will," "should," "would be" or "anticipates" or similar expressions or the negative thereof or other variations thereof, or by discussions of strategy, plans or intentions. Some of the risk factors we face are set forth and are discussed in more detail in "Item 3. Key Information—Risk Factors" included in our Annual Report on Form 20-F for the year ended December 31, 2010, as filed with the SEC on March 7, 2011. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in this release as anticipated, believed or expected. We do not intend, and do not assume any obligation, to update any information or forward-looking statements set forth in this release to reflect subsequent events or circumstances.
The table below summarizes the full schedule for the four installments for the dividend:
Ex-dividend Date (globally)
Global Record Date
Payment Date in Europe
NYSE Payment Date: on or after
Transfer between New York and Dutch registered shares restricted:
From End of Business in Europe on:
Until Open of Business in NY on:
20-Feb-12 (17-Feb-12 in NY)*
*20 Feb 2012 is not a trading day on the New York Stock Exchange.
STMicroelectronics is a global leader serving customers across the spectrum of electronics applications with innovative semiconductor solutions. ST aims to be the undisputed leader in multimedia convergence and power applications leveraging its vast array of technologies, design expertise and combination of intellectual property portfolio, strategic partnerships and manufacturing strength. In 2010, the Company's net revenues were $10.35 billion. Further information on ST can be found at www.st.com.