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These assets throw off additional income, increasing the dividend stream.
This year, after it buys some power plants and gas lines, it will consider increasing the dividend further, Stephen L. Baum, the chairman, said.
SSE said it was on track to meet its target of increasing the dividend for the current year by more than retail price inflation.
Instead, he said, the company, which is based in Fairfield, Conn., will look to spend its extra cash on increasing the dividend and buying back shares.
It said the pay-out was covered 2.6 times by underlying earnings and was in line with its policy of increasing the dividend at the same time as maintaining a long-term sustainable earnings cover of at least two times.
Mr. Reinemund said the board would discuss increasing the dividend in the spring, and tried to assure investors that the company was not hoarding cash to make an acquisition.
Similar(51)
He said the company would buy back shares and increase the dividend.
Since 2009, L&G has increased the dividend by 25% per annum.
"Like you I am a Barclays shareholder," he said, pledging to increase the dividend "over time".
He said Ford probably will increase the dividend amount later in 2012.
He said the company intended to increase the dividend over time, with reference to cash flow and earnings.
More suggestions(17)
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increasing the efficiency
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