Qualcomm Incorporated (Nasdaq: QCOM), pioneer and world leader of Code Division Multiple Access (CDMA) digital wireless technology, today announced that its Board of Directors has approved a 29 percent increase in the Company's quarterly cash dividend, and a doubling of the Company's stock repurchase authority to $2 billion, compared to the previous $1 billion stock repurchase plan which expired February 9, 2005.
The dividend rate will increase from $0.07 to $0.09 per share of common stock and will be effective for quarterly dividends payable after March 25, 2005. This dividend increase raises the annual dividend rate to $0.36 per share of common stock.
The timing of stock repurchases and the exact number of shares of common stock to be purchased will depend upon prevailing market conditions and other factors. Repurchases under this program will be made using the Company's own cash resources and may be commenced or suspended at any time or from time-to-time at management's discretion without prior notice. Repurchases may be made in the open market, in privately negotiated transactions, or through the use of derivative securities. The Company had approximately 1.6 billion shares of common stock outstanding as of December 26, 2004.
Qualcomm Incorporated (www.qualcomm.com) is a leader in developing and delivering innovative digital wireless communications products and services based on the Company's CDMA digital technology. Headquartered in San Diego, Calif., Qualcomm is included in the S&P500 Index and traded on The Nasdaq Stock Market® under the ticker symbol QCOM.
Except for the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties. Actual results, as well as the future executive of the dividend and repurchase programs, may differ substantially from the results and programs referred to herein due to a number of factors, including but not limited to risks associated with: changing global economic conditions, particularly in the telecommunications and Internet-related industries and the resulting uncertainty in forecasting future results; the scale-up, acceptance and operations of CDMA systems; the ability to sustain or improve operational efficiency and profitability; decreases in the rate of growth in CDMA-based wireless data and Internet access or the CDMA subscriber population; the development, deployment and commercial acceptance of evolving CDMA technology standards; developments in current or future litigation, the ability to continue to generate cash at a rate necessary to continue paying cash dividends or repurchasing shares, the ability to execute stock repurchases of the amounts indicated, as well as the other risks detailed from time-to-time in the Company's SEC reports