Dividend increased to $0.08 per share
MISSISSAUGA, ON, Feb. 26, 2015 /CNW/ - Maple Leaf Foods Inc. (MFI: TSX) today announced that the Board of Directors has approved an increase in the quarterly cash dividend to $0.08 per share ($0.32 per share on an annual basis) from $0.04 per share, payable March 31, 2015, to shareholders of record at the close of business on March 5, 2015. Unless indicated otherwise by the Company in writing on or before the time the dividend is paid, the dividend will be considered an Eligible Dividend for the purposes of the "Enhanced Dividend Tax Credit System".
"Today's decision reflects our confidence in the outlook for the business," said Michael H. McCain, President and CEO, Maple Leaf Foods. "We are seeing the realization of financial benefits accruing from our long term investments in network transformation, and the intention is to reward shareholders with appropriate return of capital. This dividend increase puts us at the lower end of the range of our peers in consumer packaged goods and is an important element of a multi-pronged capital allocation strategy. As we continue to make progress against our financial targets and map our growth strategy, the Board will continue to review the best options available for the capital structure."
Maple Leaf Food's network transformation began with the Company's primary pork processing operations and, since 2010, has focused on its prepared meats plants and distribution network. The Company will be closing the seventh of a planned eight legacy facilities this week, has expanded three others, consolidated 17 distribution centres into two and last year began production at its newest plant, a 400,000+ square foot state-of the-art processing facility in Hamilton, Ontario.
Maple Leaf Foods Inc. is a leading Canadian consumer protein company, making high quality, innovative products under national brands including Maple Leaf®, Maple Leaf Prime®, Maple Leaf Natural Selections®, Schneiders®, Schneiders Country Naturals® and Mina™. The Company employs approximately 12,000 people across Canada and exports to global markets, including the U.S. and Asia. The Company is headquartered in Mississauga, Ontario and its shares trade on the Toronto Stock Exchange (MFI).
SOURCE Maple Leaf Foods Inc.
For further information: Investor Contact: Nick Boland, VP Investor Relations, 416-926-2005; Media Contact: David Bauer, Director, Public Affairs, 416-926-2020