Pepco Holdings Announces Dividend Increase of 4%; Sets Annual Meeting
Thursday, January 26, 2006
Pepco Holdings, Inc.’s (NYSE: POM) Board of Directors today declared a dividend on common stock of 26 cents per share payable Mar. 31, 2006, to shareholders of record on Mar. 10, 2006. This represents a 1 cent per share, or 4% increase in the quarterly dividend rate. With this increase, the new dividend is equivalent to an annual rate of $1.04 per share.
"The dividend action taken today by our Board of Directors reflects the significant sustainable improvement in our balance sheet over the last three years and the confidence we have in our near term outlook," said Dennis R. Wraase, Chairman of the Board, President and Chief Executive Officer. "Our Board recognizes that dividends are an integral component of the total return expected by shareholders. We are pleased to increase the dividend while remaining committed to the further strengthening of the balance sheet and the funding of new investment in our core utility business."
In other action, the Board set 10 a.m., May 19, 2006 for the Annual Meeting of Shareholders to be held at PHI’s headquarters, 701 Ninth Street, NW, Washington, D.C., in the second floor conference center.
About PHI: Pepco Holdings, Inc., headquartered in Washington, D.C., delivers electricity and natural gas to about 1.8 million customers in Delaware, the District of Columbia, Maryland, New Jersey and Virginia. Through its subsidiaries Pepco, Delmarva Power and Atlantic City Electric, PHI delivers regulated electricity and natural gas service. PHI provides competitive wholesale generation services through Conectiv Energy and retail energy products and services through Pepco Energy Services.
Forward-Looking Statements: Except for historical statements and discussions, the statements in this news release constitute "forward looking statements" within the meaning of federal securities law. These statements contain management's beliefs based on information currently available to management and on various assumptions concerning future events. Forward-looking statements are not a guarantee of future performance or events. They are subject to a number of uncertainties and other factors, many of which are outside the company's control. Factors that could cause actual results to differ materially from those in the forward-looking statements herein include general economic, business and financing conditions; availability and cost of capital; changes in laws, regulations or regulatory policies; weather conditions; competition; governmental actions; and other presently unknown or unforeseen factors. These uncertainties and factors could cause actual results to differ materially from such statements. PHI disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. This information is presented solely to provide additional information to further understand the results and prospects of PHI.