The board of directors of CNH Global N.V. last week recommended that the company suspend payment of its annual cash dividend for the current year.
While 2008 was a good year for CNH, in terms of both sales and profitability, the board believes that in these times of economic turbulence the company should conserve cash, while maintaining a prudent level of industrial investment, the company said.
The board's recommendation is subject to the approval of shareholders at their annual general meeting scheduled for March 20.
Burr Ridge, Ill.-based CNH Global N.V. is a global provider of agricultural and construction equipment.
