Alexander & Baldwin raises dividend again
The parent of Matson said it will increase its 2Q dividend by 4 cents
Alexander & Baldwin Inc., which last year raised its dividend for the first time in eight years, is doing it again.
The parent of Matson Navigation Co. said yesterday it would increase its second-quarter dividend 16 percent to 29 cents from 25 cents. It will be payable June 7 to shareholders of record as of the close of business on May 10.
Until raising its dividend in 2006, the company had not boosted its quarterly payout since March 1998 when it was increased to 22.5 cents from 22 cents. A&B then kept its dividend at 22.5 cents for 33 straight quarters before raising it to 25 cents in June 2006. At its current price, the stock would yield an annual return of 2.13 percent.
The company, which also has real estate and food operations, began boosting its dividend last year shortly after Matson started its China service.
"Alexander & Baldwin has a healthy balance sheet, solid cash flows and strong prospects for continuing growth in earnings," said Allen Doane, chairman and chief executive of A&B.
A&B's stock, which is up 22.8 percent this year, is scheduled to report first-quarter earnings before the stock market opens Monday.
In 2006, A&B's net income fell 2.8 percent to $122.5 million while its revenue edged up 0.3 percent to $1.61 billion.
Separately, A&B promoted Kevin Halloran to vice president, corporate development and investor relations. Halloran joined the company last October as director, corporate finance and investor relations, and has added corporate planning to his responsibilities.