PACCAR Announces Increased Quarterly Dividend and Share Repurchase Update
September 13, 2005, Bellevue, Washington – PACCAR’s Board of Directors declared a regular quarterly cash dividend in the amount of twenty-five cents ($.25) per share, payable on December 5, 2005, to stockholders of record at the close of business on November 17, 2005. This is a 19 percent increase compared to the previous regular quarterly dividend of twenty-one cents ($.21) per share. “PACCAR, celebrating its 100th year in 2005, has achieved record profit and cash flow, which has enabled it to enhance its position as a leading technology company in the capital goods and financial services industry worldwide,” said Mark C. Pigott, chairman and chief executive officer. PACCAR has increased its regular quarterly dividend by 181 percent in the last six years.
“PACCAR has earned a net profit for 66 consecutive years and has paid a dividend every year since 1941,” noted Pigott. “PACCAR’s global truck brands – Peterbilt, Kenworth and DAF – are leaders in reliability, aerodynamics and resale value, which create a superior life-cycle cost advantage for our customers.
In addition, as of August 31, PACCAR had repatriated, from its subsidiaries worldwide, over $1.2 billion of the $1.5 billion authorized by the Board pursuant to the American Jobs Creation Act signed by President Bush in October 2004. Tom Plimpton, president, said, “PACCAR has added over 700 employees in the United States in the last 12 months.”
From January through August this year, PACCAR has repurchased 4.6 million shares of its stock for $315 million. “PACCAR stock continues to be an excellent value and provides shareholders with superior returns,” said Mike Tembreull, vice chairman. “The company has again outperformed the Standard & Poor’s 500 Index for the previous one-, five- and ten-year time periods.”
PACCAR is a global technology leader in the design, manufacture and customer support of high-quality light-, medium- and heavy-duty trucks under the Kenworth, Peterbilt and DAF nameplates. It also provides financial services and information technology and distributes truck parts related to its principal business.
PACCAR shares are traded on the Nasdaq Stock Market, symbol PCAR, and its homepage can be found at www.paccar.com.