Newspaper publisher The New York Times announced today that it is initiating a quarterly dividend payment program for investors in the amount of $0.04 per share on its Class A and Class B shares.
With the start of the payout scheme, New York Times Chairman Arthur Sulzberger, Jr. said that it "will allow us to return capital to our shareholders while maintaining the financial flexibility necessary to continue to invest in the company's transformation and various growth initiatives."
Company president and CEO Mark Thompson said, "Given the expectation of continued volatility in advertising revenue and the fact that our growth strategy is at an early stage of development, we will maintain a prudent view of both the balance sheet and free cash flow."
The board of directors said the quarterly dividend is payable on October 24 to holders of record at the close of business on October 9. The regular dividend payment equates to a $0.16-per-share annual dividend, yielding 1.4% based on the closing price today of The New York Times' stock.
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