Xerox, Foot Locker Raise Quarterly Dividends

By FOXBusiness

Technology company Xerox (NYSE:XRX) and athletic apparel maker Foot Locker (NYSE:FL) announced plans to hike their quarterly dividends by double-digit percentages on Wednesday as corporate America continues to return cash to shareholders.

Shares of both companies inched slightly higher on the moves.

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Xerox said its board of directors has approved a 35% increase in the company's quarterly dividend to 5.75 cents a share. The dividend is payable on April 30 to shareholders of record as of March 28.

Last month Xerox logged slightly better-than-expected quarterly earnings and reiterated its full-year earnings projections.

Meanwhile, Foot Locker on Wednesday declared a first-quarter dividend of 20 cents per share, up 11% from its earlier payout. The new dividend is payable on May 3 to shareholders of record as of April 19.

Foot Locker also unveiled a new three-year share buyback program that is worth $600 million. The authorization replaces the company's prior $400 million repurchase program. Foot Locker said it spent $129 million under that program in 2012.

Moreover, Foot Locker said its board of directors signed off on a $220 million capital expenditure program for 2013, up from $163 million in 2012. The retailer said it plans to spend the cash on new store formats, expansion into Europe and new technology.

"By taking these actions, our board has expressed its confidence that Foot Locker, Inc. has the financial strength to simultaneously invest in the company's growth opportunities and return cash directly to shareholders through a balanced approach to dividends and share repurchases," CEO Ken Hicks said in a statement.

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