Rockwell Collins, Up 130.1%, Raises Dividend
By 33% & Increases Share Buyback
07/02/2004
Rockwell Collins is up 130.1% since we announced our buy signal
for the company. This week the aerospace company revealed
that they will be increasing their dividend by 33% while also
increasing their share buyback program by $200 million. Below
is an excerpt from the company's statement:
CEDAR RAPIDS, Iowa--(BUSINESS WIRE)--June
30, 2004--The Board of Directors of Rockwell Collins (NYSE:COL
- News) has approved an increase in the company's quarterly
dividend of 3 cents per share, or 33 percent, to 12 cents
per share on its common stock. The next dividend is payable
September 7, 2004, to shareowners of record at the close of
business on August 12, 2004.
Additionally, the Rockwell Collins Board
of Directors has authorized the company to purchase an additional
$200 million of Rockwell Collins common stock. With this announcement,
the amount of share repurchases authorized by the company's
Board of Directors since the inception of the share repurchase
program in December 2001 now totals $600 million. As of June
30, 2004, the company has repurchased a total of 15.8 million
shares for $390 million at an average price per share of $24.73.
"The increase in our quarterly dividend
and the expansion of our share repurchase program reflect
Rockwell Collins' ongoing commitment to improving shareowner
value," said Rockwell Collins Chairman, President and
CEO Clay Jones. "The strength of our balance sheet and
our demonstrated ability to generate strong operating cash
flow allow us to provide this additional value to shareowners
without impacting our ability to continue executing our long-term
growth strategies."
The timing and number of share repurchases
will depend upon market conditions. The repurchases will be
made in compliance with, and at such times as permitted by,
federal securities law and may be suspended or discontinued
at any time.
Rockwell Collins is a leader in the design,
production and support of communications and aviation electronics
solutions for government and commercial customers worldwide.
Additional information is available at www.rockwellcollins.com.
This news release contains statements relating
to future results that are "forward-looking" as
defined in the Private Securities Litigation Reform Act of
1995. Actual results may differ materially from those projected
as a result of certain risks and uncertainties including,
but not limited to the consequence of any future terrorist
attacks; the health of the global economy as well as the commercial
aerospace industry; domestic and foreign government spending,
budgetary and trade policies; demand for and market acceptance
of new and existing products; performance of our products;
potential cancellation of contracts, delay of orders, or changes
in procurement practices by our customers; customer bankruptcies;
recruitment and retention of qualified personnel; performance
of our suppliers and subcontractors; our ability to execute
to our internal performance plans as well as our acquisition,
strategic and integration plans; the uncertainties of the
outcome of litigation; and those detailed from time to time
in the company's Securities and Exchange Commission filings.
The forward-looking statements are made only as of the date
hereof and the company assumes no obligation to update any
forward-looking statement.
Contact:
Rockwell Collins, Cedar Rapids
Gary R. Chadick, 319-295-6835
grchadic@rockwellcollins.com
or
Jeffrey D. Moder, 319-295-0591
jdmoder@rockwellcollins.com
www.rockwellcollins.com
SOURCE: Rockwell Collins, Inc.
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