STMicroelectronics Supervisory Board Resolves to Submit to the Companys Annual General Meeting a Proposal to Increase Annual Cash Dividend to US$0.28 per Share
Geneva / 19 Apr 2010
The Supervisory Board of STMicroelectronics (NYSE:STM) approved the management proposal to submit to the forthcoming 2010 Annual General Meeting of Shareholders the distribution of an annual cash dividend of US$0.28 per outstanding share of the Company»s common stock, payable in four equal quarterly installments. The proposed dividend equals a 2.7% yield on the Company»s share price at closing on Friday, April 16, on the NYSE.
The proposal will be submitted for shareholder approval at the Company»s Annual General Meeting, which will be held in Amsterdam on May 25, 2010. Upon approval, the dividends will be paid in four equal quarterly installments in June, August and December 2010, and February 2011 to shareholders of record in the month of each quarterly payment. The first payment date will be on June 3 for the European stock exchanges and on June 8 for the NYSE. (For additional details on the dividend payment and ex-dividend dates, please refer to the Company Website).
The Company»s annual cash dividend of US$0.28 per share, as proposed, is significantly higher than the annual dividend of US$0.12 per share declared last year.“Last year we were obliged to significantly reduce our dividend as a responsible and temporary measure in reaction to the severe recession,” said Carlo Bozotti, President and CEO of STMicroelectronics. “Despite the recession our financial position has substantially improved. Now, a strong financial foundation, confidence in the Company»s ability to generate solid free cash flow and the expected proceeds of our product portfolio reshaping allow ST to increase the dividend and to reward our shareholders for their investment and trust in the Company.”
STMicroelectronics 2010 Dividend Schedule
Some of the statements contained in this release that are not historical facts are statements of future expectations and other forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933 or Section 21E of the Securities Exchange Act of 1934, each as amended) based on management»s current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those in such statements. Such forward-looking statements can be identified by the use of forward-looking terminology such as “believes,” “may,” “will,” “should,” “would be” or “anticipates” or similar expressions or the negative thereof or other variations thereof, or by discussions of strategy, plans or intentions. Some of the risk factors we face are set forth and are discussed in more detail in “Item 3. Key Information—Risk Factors” included in our Annual Report on Form 20-F for the year ended December 31, 2009, as filed with the SEC on March 10, 2010. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in this release as anticipated, believed or expected. We do not intend, and do not assume any obligation, to update any information or forward-looking statements set forth in this release to reflect subsequent events or circumstances.
About STMicroelectronics
STMicroelectronics is a global leader serving customers across the spectrum of electronics applications with innovative semiconductor solutions. ST aims to be the undisputed leader in multimedia convergence and power applications leveraging its vast array of technologies, design expertise and combination of intellectual property portfolio, strategic partnerships and manufacturing strength. In 2009, the Company’s net revenues were $8.51 billion. Further information on ST can be found at www.st.com.
