The Board of Directors of Harris Corporation (NYSE:HRS), an international communications and information technology company, has increased the quarterly cash dividend rate by 13.5 percent from 37 cents per share to 42 cents per share and declared a dividend of 42 cents per share payable September 24, 2013 to shareholders of record September 10, 2013. The annualized cash dividend rate is now $1.68 per share. This action represents the company’s twelfth consecutive annual dividend increase.
In addition, the Board approved a new $1 billion share repurchase authorization. This new program is in addition to the existing program, which has an unused authorization of approximately $62 million. The company expects to repurchase up to $200 million in shares in fiscal 2014.
Share repurchases will be funded with available cash and commercial paper. Repurchases under the program may be made through open market purchases, private transactions, transactions structured through investment banking institutions, or any combination thereof. The timing, volume, and nature of share repurchases are subject to business and market conditions, applicable securities laws, and other factors, are at the discretion of the company, and may be suspended or discontinued at any time without prior notice.
"Harris continues to generate strong free cash flow. These actions demonstrate our continued confidence in the company’s long-term outlook and our commitment to create shareholder value through effective cash deployment," said William M. Brown, president and chief executive officer.
About Harris Corporation
Harris is an international communications and information technology company serving government and commercial markets in more than 125 countries. Headquartered in Melbourne, Florida, the company has approximately $5 billion of annual revenue and about 14,000 employees — including 6,000 engineers and scientists. Harris is dedicated to developing best-in-class
products, systems, and services. Additional information about Harris Corporation is available at
This press release contains forward-looking statements that reflect management's current expectations, assumptions and estimates of future performance and economic conditions. Such statements are made in reliance upon the safe harbor provisions of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. The company cautions investors that any forward-looking statements are subject to risks and uncertainties that may cause actual results and future trends to differ materially from those matters expressed in or implied by such forward-looking statements. Statements about our financial position and outlook and the expected level of share repurchases are forward-looking and involve risks and uncertainties. Other factors that may impact the company's results and forward-looking statements may be disclosed in the company's filings with the SEC. Harris disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.