Oct. 1 (Bloomberg) -- Kraft Foods Group Inc., the North American packaged foods company that split off its snacks business last year, said it will boost its quarterly dividend by 5 percent to 52.5 cents a share.
“Today’s dividend increase reflects our commitment to return cash to our shareholders and is consistent with our plans to consistently grow our dividend at a mid-single digit rate over time,” Chief Executive Officer Tony Vernon said in a statement.
Kraft, based in Northfield, Illinois, split off its snacks division, now called Mondelez International Inc., a year ago. In June, the company said it would expand to six business units in order to reduce the complexity of managing a disparate portfolio while also increasing focus on brand-building.
The stock rose 0.9 percent to $52.96 at the close in New York today, taking its gain for the year to 16 percent.
This dividend is payable on Oct. 25 to shareholders of record as of Oct. 11, the company said.
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