Cisco to Start Paying Dividend

By Cindy Waxer September 14, 2010

During its annual Financial Analyst Conference 2010 webcast from its San Jose headquarters, Cisco Systems CEO John Chambers said the multinational technology giant plans to initiate a dividend of 1 percent to 2 percent in fiscal year 2011. Cisco shares rose 72 cents, or 3.4 percent, to $21.98 in early afternoon trading Tuesday.

Details were posted on Cisco’s blog:

“At our annual Financial Analyst Conference today, we outlined our intention to issue a dividend during the current fiscal year ending July 30, 2011.   As part of the discussion, we addressed our commitment to further establishing Cisco as a unique investment by providing shareholders with a guaranteed dividend yield to complement Cisco’s long term growth opportunity.  Size and timing of the dividend will be determined in the coming months, taking into consideration tax policy and broader market conditions.” 

The announcement falls on the heels of news that Chambers’ pay doubled in the latest fiscal year. Due largely to increases in his stock and option awards and cash bonus, Chambers received compensation valued at $18.9 million in fiscal 2010, according to documents filed with the U.S. Securities and Exchange Commission. His total package is up 33 percent from 2009, when he received compensation valued at $14.2 million.

Cisco’s revenue came in at $40 billion, up from $36.1 billion in 2009. Net income reached $7.8 billion, up from $6.1 billion in the prior year.

Edited by Erin Harrison

TechZone360 Contributing Editor

Related Articles

Why Blockchain Could Be a Gamechanger

By: Paula Bernier    1/22/2018

Blockchain has become closely associated with the controversial topic of cryptocurrency. And that's fine because blockchain is an enabling technology …

Read More

Consumer Privacy in the Digital Era: Three Trends to Watch

By: Special Guest    1/18/2018

Digital advertising has exploded in recent years, with the latest eMarketer data forecasting $83 billion in revenue this year and continued growth on …

Read More

CES 2018: Terabit Fiber - Closer Than We Think

By: Doug Mohney    1/17/2018

One of the biggest challenges for 5G and last mile 10 Gig deployments is not raw data speeds, but middle mile and core networks. The wireless industry…

Read More

10 Benefits of Drone-Based Asset Inspections

By: Frank Segarra    1/15/2018

Although a new and emerging technology, (which is still evolving), in early 2018, most companies are not aware of the possible benefits they can achie…

Read More

VR Could Change Entertainment Forever

By: Special Guest    1/11/2018

VR could change everything from how we play video games to how we interact with our friends and family. VR has the power to change how we consume all …

Read More