AME News AMETEK Announces Stock Split and Dividend Increase
PAOLI, Pa.--(BUSINESS WIRE)--AMETEK Inc. (NYSE:AME) today announced its Board of Directors has
declared a three-for-two stock split and approved a 50% increase in the
quarterly cash dividend on its common stock.
The three-for-two split of its common stock will result in the issuance
of one additional common share for every two shares owned as of the
record date. The new shares are payable on November 27, 2006, to
shareholders of record on November 13, 2006. Any fractional shares
resulting from the stock split will be paid in cash based on the closing
market price of AMETEK stock on the record date. By splitting its stock,
AMETEK expects to broaden the stock’s
marketability and improve its trading liquidity.
After reviewing the Company’s strong financial
position and future expectations, AMETEK’s
Board of Directors also has decided to increase the quarterly common
stock dividend 50%, to an indicated annual rate of $.24 per share on a
post-split basis ($.36 per share on a pre-split basis). The Board of
Directors declared the fourth quarter dividend of $.06 per share ($.09
on a pre-split basis), payable on December 22, 2006 to shareholders of
record on December 8, 2006.
Mr. Hermance commented, “Our Four Growth
Strategies have resulted in significant increases in sales,
profitability and cash flow in the last several years. We remain firmly
committed to these strategies, in particular our disciplined acquisition
strategy, and believe they will continue to drive shareholder value in
the future. Anticipated strong cash flows will enable us to continue to
fully fund these growth strategies, while rewarding shareholders with a
higher cash dividend.”
Corporate Profile
AMETEK is a leading global manufacturer of electronic instruments and
electromechanical devices with annualized sales of approximately $1.8
billion. AMETEK’s Corporate Growth Plan is
based on Four Key Strategies: Operational Excellence, Strategic
Acquisitions & Alliances, Global & Market Expansion and New Products.
AMETEK’s objective is double-digit percentage
growth in earnings per share over the business cycle and a superior
return on total capital. The common stock of AMETEK is a component of
the S&P MidCap 400 Index and the Russell 1000 Index.
Forward-looking Information
Statements in this news release that are not historical are considered “forward-looking
statements” and are subject to change based on
various factors and uncertainties that may cause actual results to
differ significantly from expectations. Those factors are contained in
AMETEK’s Securities and Exchange Commission
filings.
