Colgate-Palmolive to split stock, raise dividend
Consumer product maker Colgate-Palmolive Co. said Thursday that its board approved a 2-for-1 stock split, its first since 1999.
The maker of Colgate toothpaste and Palmolive dish soap said it will raise its dividend 10 percent.
Companies typically split their stock when they think the price of an individual share has gotten too expensive or if the stock is trading too far above similar companies' stock. The value of each shareholder's stake remains the same, with more stock owned at a lower price for each share.
The 2-for-1 split will occur via a stock dividend on April 23, with share distribution on May 15.
The total number of shares outstanding will increase to 936 million from 468 million.
The regular quarterly dividend will be raised 6 cents to 68 cents, payable on May 15 to shareholders of record as of April 23. The new dividend will be $2.72 a year, or $1.36 after the stock split.
Colgate-Palmolive reported in January its fourth-quarter net income rose 1 percent on higher prices and cost cuts. Consumer product makers have been raising prices and trimming costs to balance high costs for raw materials. Colgate is cutting 6 percent of its staff by 2016 as part of a broader cost-cutting program.
Show commenting policy
TribLive commenting policy
You are solely responsible for your comments and by using TribLive.com you agree to our Terms of Service.
We moderate comments. Our goal is to provide substantive commentary for a general readership. By screening submissions, we provide a space where readers can share intelligent and informed commentary that enhances the quality of our news and information.
While most comments will be posted if they are on-topic and not abusive, moderating decisions are subjective. We will make them as carefully and consistently as we can. Because of the volume of reader comments, we cannot review individual moderation decisions with readers.
We value thoughtful comments representing a range of views that make their point quickly and politely. We make an effort to protect discussions from repeated comments either by the same reader or different readers.
We follow the same standards for taste as the daily newspaper. A few things we won't tolerate: personal attacks, obscenity, vulgarity, profanity (including expletives and letters followed by dashes), commercial promotion, impersonations, incoherence, proselytizing and SHOUTING. Don't include URLs to Web sites.
We do not edit comments. They are either approved or deleted. We reserve the right to edit a comment that is quoted or excerpted in an article. In this case, we may fix spelling and punctuation.
We welcome strong opinions and criticism of our work, but we don't want comments to become bogged down with discussions of our policies and we will moderate accordingly.
We appreciate it when readers and people quoted in articles or blog posts point out errors of fact or emphasis and will investigate all assertions. But these suggestions should be sent via e-mail. To avoid distracting other readers, we won't publish comments that suggest a correction. Instead, corrections will be made in a blog post or in an article.
- U.S. Steel job cuts total 2,800, CEO says
- Pittsburgh area unemployment ticks up
- Hog Father’s eatery chain ferries barbecue to workers at gas well pads
- Mylan rejects Teva’s $40 billion takeover bid
- Oil’s rebound pushes up price at gas pumps
- Consol Energy profits dip with low gas prices
- Visa limits vex businesses
- Starbucks glitch that closed stores shows reliance on registers
- California drought may be felt in Pittsburgh restaurants, groceries
- Retailers vie for workers in tightening labor market
- Aerospace boom a boon for ATI, but more cost-cutting efforts planned