Including An Increase Of The Quarterly Dividend To $0.05 Per Common Share And The Repurchase Of Up To $227 Million Of Common Stock
Huntington Bancshares Incorporated (NASDAQ: HBAN) was notified by the Federal Reserve that it had no objection to Huntington's proposed capital actions included in Huntington's capital plan submitted to the Federal Reserve in January of this year. These actions included a 25% increase in the dividend per common share to $0.05, starting in the second quarter of 2013, and the potential repurchase of up to $227 million of common stock through the first quarter of 2014. Huntington's Board of Directors is expected to consider the next quarterly dividend and share repurchase program at its April 16, 2013 meeting.
“Today’s action by the Federal Reserve highlights our strong capital levels and financial performance,” said Stephen D. Steinour, chairman, president and CEO of Huntington. “This action allows us to increase our common dividend and share repurchase authorization so that we can expand our disciplined approach to capital management. Reinvesting excess capital to organically grow the business remains our priority. Importantly, dividends and share repurchases provide us additional means of creating long-term shareholder value. Actual levels of dividends and share repurchases over time will depend on various factors, including earnings, growth opportunities, and market conditions.”