Kimberly-Clark (KMB) - Get Report Monday gave shareholders a pair of early holiday gifts and also outlined strategic initiatives.

The paper and paper products company said it will raise its quarterly dividend by 12.5% to 45 cents a share and repurchase at least $1 billion worth of its shares next year.

The Dallas-based company reaffirmed its fourth- quarter EPS forecast of 89 cents to 91 cents. Analysts expect 91 cents a share, according to Thomson First Call.

The company also announced a three-year cost savings target of $400 million to $500 million and plans to increase growth in six developing and emerging markets, including Brazil, Russia, India and China.

The company is meeting with investors today. Shares closed at $63.98 Friday.