Caterpillar Increases Dividend Rate

The board of directors of Caterpillar Inc. last week voted to raise the quarterly cash dividend by two cents to $0.44 per share of common stock, payable August 20, to stockholders of record at the close of business, July 20.

"During the global economic turmoil of 2009, Caterpillar maintained its dividend rate, while also strengthening the company's balance sheet and improving cash flow,” said Caterpillar chairman and CEO Jim Owens. “Now we are pleased to reward stockholders with dividend growth, which underscores Caterpillar's global reach and the strength of our business model. With this increase, Caterpillar has paid higher dividends to its stockholders for 17 years in a row."

The $0.44 dividend is an increase of five percent over the previous rate of $0.42 per share.

Peoria, Ill.-based Caterpillar reported 2009 sales and revenues of $32.396 billion.