Intel Boosts Dividend Again

SAN FRANCISCO -- Intel(INTC Quote) boosted its dividend payment Thursday, marking the company's second double-digit dividend increase in four months.

Santa Clara, Calif.-based Intel, the world's No.1 chipmaker, said it will pay a 14 cents a share dividend on its common stock on June 1 to stockholders of record on May 7. The payment represents a 10% increase from its previous dividend.

"The strength of Intel's competitive position combined with our solid financials allow us to again reward Intel shareholders with an increase in the quarterly dividend," said Intel Chairman Craig Barrett in a statement.

Shares of Intel increased 2.2%, or 46 cents, to $21.55 in midday trading Thursday.

Intel last raised its dividend in November, when the chipmaker boosted the payment 13% to 12.75 cents a share.

At the end of 2007, Intel had $12.8 billion in cash and short-term investments on its balance sheet. The company is still working on a 2005 authorization to repurchase $25 billion of common shares.