Western Railroad Discussion > UP Raises Dividend

OMAHA, Neb., July 31, 2014 /PRNewswire/ -- Union Pacific Corporation (NYSE: UNP) announced that its Board of Directors voted today to increase the quarterly dividend on the company's common shares by 10 percent to 50 cents per share. The increased dividend is payable October 1, 2014, to shareholders of record August 29, 2014.

"We are pleased to reward our shareholders with another dividend increase," said Rob Knight, Union Pacific chief financial officer. "It all starts with earning reinvestable returns, which allows us to increase cash to shareholders while supporting strong capital investments for safety, service, and growth. In keeping with our dividend payout target range of 30 to 35 percent on a declared basis, we've now increased our dividend at a double-digit rate in three of the past five quarters."

Union Pacific has paid dividends on its common stock for 115 consecutive years.

Nice to hear, I'll be looking forward to a check. The stock has been an excellent investment for me over the last number of years.

Bruce

I know that UP has raised its dividend consistently, and I will probably reap the benefits when my 401K pays off. So I don't get dividend checks or taxes withheld yet. (In fact, I don't even know how many shares are in my account!)

My question: how does this 50c/share compare with last quarter, in view of the two-for-one sock split? Is the increase based on the old shares, or is it straight per-share and we're getting more than twice as much?

Carl Shaver
Lombard, IL

All of those numbers would be adjusted for the stock split.

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