NEW YORK, Jan. 20 /PRNewswire-FirstCall/ -- The Board of Directors of The McGraw-Hill Companies (NYSE: MHP) today approved the 37th consecutive annual increase in the regular quarterly cash dividend on the Corporation's common stock and also announced that the company intends to resume share repurchases in 2010.
The quarterly dividend will increase 4.4 percent from $0.225 to $0.235 per share. The dividend will be payable on March 10, 2010, to shareholders of record on February 24, 2010. The new annualized dividend rate of $0.94 per share represents an average compound annual dividend growth rate of 9.9% since 1974.
"Our financial strength and strong growth prospects worldwide have enabled us to extend our long record of annual dividend increases and to resume our share repurchase program, actions that clearly demonstrate the Board's ongoing commitment to increasing shareholder value," said Harold McGraw III, chairman, president and CEO of The McGraw-Hill Companies. "Since 1996, we have returned approximately $9.4 billion to shareholders through dividend payments and share buybacks."
The McGraw-Hill Companies has paid a dividend each year since 1937 and is one of fewer than 30 companies in the S&P 500 that has increased its dividend annually for the last 37 years.
The Corporation, beginning this year, will buy back over time the 17.1 million shares remaining in its share repurchase program approved by the Board in 2007. These shares will be purchased from time to time on the open market, subject to market conditions. Historically, approximately 43% of the shares repurchased have been used to reduce the Corporation's number of outstanding shares. The McGraw-Hill Companies had approximately 315 million diluted weighted average shares outstanding at the end of 2009.
About The McGraw-Hill Companies:
The McGraw-Hill Companies is a leading global information services provider in financial services, education and business information with leading brands such as Standard & Poor's, McGraw-Hill Education, Platts, Capital IQ, J.D. Power and Associates, McGraw-Hill Construction and Aviation Week. Founded in 1888, the Corporation has more than 280 offices in 40 countries. Sales in 2008 were $6.4 billion. Additional information is available at www.mcgraw-hill.com.
Investor Relations: http://www.mcgraw-hill.com/investor_relations
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Release issued: January 20, 2010
SOURCE The McGraw-Hill Companies