American Water Increases Quarterly Dividend by 9.9%

American Water announced today that its board of directors increased its quarterly cash dividend payment from 45.5 cents to 50.0 cents per share, a 9.9% percent increase. The company has increased its dividend every year since its IPO in April 2008.

The increased dividend is consistent with American Water’s historical dividend practice, which is to link dividend increases to earnings per share growth and target a payout ratio between 50 to 60 percent of net income.  Click here for additional information.