PepsiAmericas declares dividend, approves share repurchase
July 22, 2005
by Eric Schroeder
MINNEAPOLIS — The board of directors of PepsiAmericas, Inc. on Thursday declared a dividend of 8.5c per share on PepsiAmericas common stock. The dividend is payable Oct. 3 to shareholders of record on Sept. 15.
The board also approved an increase in the company’s existing share repurchase program, authorizing the repurchase of an additional 20 million shares of the company’s common stock. The authorization is effective immediately and does not have a deadline for execution of repurchases.
Since May 1999, PepsiAmericas has repurchased 35 million shares under its repurchase program. The company has approximately 138 million shares of common stock outstanding.
"We believe that our share repurchase program confirms our commitment to return value to shareholders," said Robert C. Pohlad, chairman and chief executive officer of PepsiAmericas. "The board believes that the share repurchase is a good investment alternative for our cash flow from operations and an indicator of confidence in our business."
PepsiAmericas is the second-largest anchor bottler in the Pepsi system with operations in 19 states as well as Puerto Rico, Jamaica, the Bahamas, Barbados, Trinidad and Tobago, Poland, Hungary, the Czech Republic, Republic of Slovakia and Romania.