Seagate Technology plc (NASDAQ:STX) today announced that its Board of
Directors has approved a 17 percent increase in the company’s targeted
regular cash dividend. The targeted annual dividend will increase from
$2.16 to $2.52 per share and will continue to be paid quarterly. The
first payment at the new quarterly rate of $0.63 per share is scheduled
to be paid on November 20, 2015 to shareholders of record as of the
close of business on November 6, 2015. The declaration and payment of
any future quarterly dividends will continue to be at the discretion of
the Board of Directors and will be dependent upon Seagate’s financial
position, results of operations, available cash, cash flow, capital
requirements and other factors deemed relevant by the Board.
“Today’s increase in our dividend targets reflects our confidence in
Seagate’s ability to continue to generate sustainable operating cash
flow and maintain a strong balance sheet,” said Steve Luczo, Seagate
chairman and chief executive officer. “This is consistent with our
capital allocation priorities we have previously articulated, including
returning cash to shareholders through dividends and share redemptions.”
About Seagate
Seagate creates space for the human experience by innovating how data is
stored, shared and used. Learn more at www.seagate.com.
©2015 Seagate Technology LLC. All rights reserved. Seagate,
Seagate Technology, and the Seagate logo are trademarks or registered
trademarks of Seagate Technology LLC in the United States and/or other
countries.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of
the Securities Exchange Act of 1934, each as amended, including, in
particular, statements about our plans, strategies and prospects and
estimates of industry growth for the fiscal quarter January 1, 2016 and
the fiscal year ending July 1, 2016 and beyond as well as our plans with
respect to future dividend payments. These statements identify
prospective information and may include words such as “expects,”
“intends,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,”
“projects” and similar expressions. These forward-looking statements are
based on information available to the Company as of the date of this
press release and are based on management’s current views and
assumptions. These forward-looking statements are conditioned upon and
also involve a number of known and unknown risks, uncertainties, and
other factors that could cause actual results, performance or events to
differ materially from those anticipated by these forward-looking
statements. Such risks, uncertainties, and other factors may be beyond
the Company’s control and may pose a risk to the Company’s operating and
financial condition. Such risks and uncertainties include, but are not
limited to: the uncertainty in global economic conditions; the impact of
the variable demand and adverse pricing environment for disk drives,
particularly in view of current business and economic conditions; the
Company’s ability to successfully qualify, manufacture and sell its disk
drive products in increasing volumes on a cost-effective basis and with
acceptable quality, particularly the new disk drive products with lower
cost structures; the impact of competitive product announcements;
currency fluctuations that may impact the Company’s margins and
international sales; possible excess industry supply with respect to
particular disk drive products; disruptions to our supply chain or
production capabilities; unexpected advances in competing technologies;
the development and introduction of products based on new technologies
and expansion into new data storage markets; and the Company’s ability
to achieve projected cost savings in connection with restructuring plans
and fluctuations in interest rates. Information concerning risks,
uncertainties and other factors that could cause results to differ
materially from the expectations described in this press release is
contained in the Company’s Annual Report on Form 10-K filed with the
U.S. Securities and Exchange Commission on August 11, 2015, the “Risk
Factors” section of which is incorporated into this press release by
reference, and other documents filed with or furnished to the Securities
and Exchange Commission. These forward-looking statements should not be
relied upon as representing the Company’s views as of any subsequent
date and the Company undertakes no obligation to update forward-looking
statements to reflect events or circumstances after the date they were
made.
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