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Ford increases quarterly dividend and Mulally stays put

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The Ford Motor Company Board of Directors declared a first-quarter 2014 dividend of $0.125 per share on the company’s outstanding Class B and common stock. This is a 25 percent increase from the level of dividend paid in each quarter of 2013.

Ford stopped paying dividends in 2006 – the same year Allan Mulally was recruited away from Boeing to help turn around the flailing automaker. That year, Ford lost a record $13 billion. Under Mulally’s leadership Ford Motor Company returned to profitability. The company resumed paying quarterly dividends in 2012.

The first-quarter dividend is payable on March 3, 2014 to shareholders of record at the close of business on Jan. 31, 2014. This is the second quarterly dividend increase in the past two years.

Mulally stays put
Ford CEO Allan Mulally has been cited as a potential replacement for Microsoft CEO Steve Ballmer when he retires. The speculation grew to the point where Ford’s board of directors asked Mulally to clarify his intentions.

In a wide-ranging interview with Associated Press, Mulally firmly stated he will not leave Ford before the end of 2014. "I would like to end the Microsoft speculation because I have no other plans to do anything other than serve Ford," Mulally said.

Read: Ford CEO Alan Mulally moving to Microsoft?



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