Microsoft raises dividend, unveils $ 60 billion share buyback program

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Expanding its return of capital program to shareholders, Microsoft said Tuesday evening that its board of directors voted both to increase its quarterly dividend and to adopt a new share buyback program.

Microsoft

(ticker: MSFT) increased its quarterly dividend rate by 11%, from 56 cents to 62 cents. It was the 12th year in a row that the company had increased its quarterly payments following its board meeting in September. The new rate gives the company a return of 0.8%. The increase follows increases of 10% last year and 11% in 2019.

The company also announced a new $ 60 billion share buyback program, with no specific expiration date.

Microsoft also said its board has appointed Chairman Brad Smith as an additional vice chairman. “This reflects the unique leadership role Brad plays for the company, our board and myself, with governments and other external stakeholders around the world,” said the CEO and President of Microsoft, Satya Nadella, in a statement.

Microsoft’s late trading is up 0.9% to $ 302.51.

Write to Eric J. Savitz at [email protected]