NEW YORK, Jan. 28 /PRNewswire-FirstCall/ -- For the 36th consecutive year, the Board of Directors of The McGraw-Hill Companies (NYSE: MHP) today approved an increase in the regular quarterly cash dividend on the Corporation's common stock. The new annualized rate of $0.90 per share represents an average compound annual dividend growth rate of 10.1% since 1974.
"Our Board recognizes the importance of the dividend to our shareholders, and we are pleased that our strong financial position has enabled us to again increase the dividend, despite the difficult economic environment," said Harold McGraw III, chairman, president and CEO of The McGraw-Hill Companies. "Our disciplined fiscal approach in the current environment has helped us maintain a strong balance sheet and the cash flow needed to fund operations, make investments, pay down debt, and return cash to shareholders."
The quarterly dividend will increase 2.3 percent from $0.22 to $0.225 per share. The dividend will be payable on March 11, 2009, to shareholders of record on February 25, 2009.
The McGraw-Hill Companies has paid a dividend each year since 1937 and is one of fewer than 30 companies in the S&P 500 that has increased its dividend annually for the last 36 years.
The Corporation also announced that the Board has decided to delay making additional share repurchases until there is better visibility into the credit markets and the company's 2009 operating performance. The Corporation remains committed to returning cash to shareholders while also preserving liquidity and maintaining its strong balance sheet.
About The McGraw-Hill Companies:
Founded in 1888, The McGraw-Hill Companies is a leading global information services provider meeting worldwide needs in the financial services, education and business information markets through leading brands including Standard & Poor's, McGraw-Hill Education, BusinessWeek and J.D. Power and Associates. The Corporation has more than 280 offices in 40 countries. Sales in 2008 were $6.4 billion. Additional information is available at http://www.mcgraw-hill.com.
Investor Relations: http://www.mcgraw-hill.com/investor_relations
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Release issued: January 28, 2009
