Potash Corp. (NYSE:POT) has announced a significant increase in its quarterly dividend.The company will pay $0.28 per share, a 33% lift from the previous level of $0.21. The dividend will be paid May 2 to its shareholders of record as of the end of April 11. Potash pointed out that this is the fourth raise in its disbursement since the start of 2011. At an annualized rate, the dividend yields 2.6% based on the current share price.
In the news release announcing the new payout, CEO Bill Doyle said, "We are excited by the potential of our company, particularly as our potash expansion program nears completion. Our board and management team's decision to further enhance our dividend reflects the confidence we have in our ability to generate strong cash flow in the years ahead."
Fool contributor Eric Volkman has no position in Potash Corp., and neither does The Motley Fool. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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