by Christopher Freeburn | September 20, 2013 11:41 am
Next month, the shareholders of the New York Times Company (NYT) will get something they haven’t received in five years.
On Thursday, the newspaper publisher said it would issue a dividend of 4 cents per share on October 24, its first dividend since 2008, when it suspended dividends in the facing of falling ad revenues. The move comes as the company has faced pressure from the Ochs-Sulzberger family to restore dividend payments, Bloomberg notes.
Dividends will be distributed to shareholder of record as of October 9 and is part of a plan to restore its quarterly dividend payments. The Ochs-Sulzberger family controls a 13% stake in the media company. That stake would generate roughly $3.1 million in annual dividend payments.
During the last quarter, the New York Times Company said it had $747 million in cash and liquid investments on hand. It also reported $694 million in outstanding debt.
Last month the company sold the struggling Boston Globe newspaper, which it acquired in 1993 for $1.1 billion, for just $70 million.
Shares of the New York Times company climbed almost 1% in Friday morning trading.
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