CLEVELAND, OHIO...Eaton Corporation's Board of Directors today raised the quarterly cash dividend on the company's common shares from 30 cents to 40 cents, a 33 percent increase. The dividend increase, which is payable on May 25, 1995 to shareholders of record as of May 8, 1995, raises the annualized dividend payout to $1.60, and is the second to be made by the company in less than two years.
In announcing the increase at the company's Annual Meeting of Shareholders, held at One Cleveland Center here today, Eaton Chairman and Chief Executive Officer, William E. Butler said the action was a reflection of the company's practice of periodically raising the dividend to reward shareholders. He cited the strength of the company's cash flow, health of its balance sheet and the excellent state of Eaton's markets as primary factors in leading the company to increase the dividend payout.
At the company's annual meeting two years ago, the board announced an increase in the cash dividend on Eaton common shares for the third quarter of 1993 from 27 1/2 cents per share, to 30 cents per share. When combined with today's announcement, the two increases represent a 45 percent increase in the dividend payout over the past 21 months. Eaton has paid dividends on common shares annually since 1923.
Eaton Corporation is a global manufacturer of highly engineered products which serve automotive, industrial, construction, commercial, aerospace and marine markets. Principal products include truck transmissions and axles, engine components, hydraulic products, electrical power distribution and control equipment, ion implanters and a wide variety of controls. Headquartered at Eaton Center in Cleveland, the company has 51,000 employees and 150 manufacturing sites in 18 countries around the world. Sales for 1994 were $6.1 billion.