Abbott's (NYSE: ABT) board of directors has approved a new share repurchase program and declared a quarterly common dividend.
Abbott's board has authorized the repurchase of up to $3 billion of the corporation's common stock. The program replaces the previous $5 billion program that was announced in October 2008 and was recently completed. The purchases may be made from time to time as market conditions warrant and subject to regulatory considerations.
The board also declared a quarterly common dividend of 14 cents per share. This marks the 358th consecutive quarterly dividend to be paid by Abbott since 1924. The cash dividend is payable August 15, 2013, to shareholders of record at the close of business on July 15, 2013.
Abbott's strong cash flow has enabled it to invest in its business and return cash to shareholders through dividends and share repurchases. Abbott has a long history of returning value to shareholders, and since 2002, the company has delivered $31 billion in cash to its shareholders through dividends and share buybacks.
Abbott has increased its dividend payout for 41 consecutive years and is a member of the S&P 500 Dividend Aristocrats Index, which tracks companies that have annually increased their dividend for 25 consecutive years.