International Paper Announces Increase in Quarterly Dividend

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Jan 11, 2011, 11:29 ET

MEMPHIS, Tenn., Jan. 11, 2011 /PRNewswire/ -- International Paper (NYSE: IP) announced today that its Board of Directors has approved an increase in its quarterly common stock dividend from twelve and one-half cents ($0.125) per share to eighteen and three-quarter cents ($0.1875) per share, effective for the dividend payable March 15, 2011 to shareholders of record on February 15, 2011.

(Logo: http://photos.prnewswire.com/prnh/20020701/IPLOGO )

"This second dividend increase reflects our intent to restore our dividend to pre-recession levels," said John Faraci, Chairman and chief executive officer. "Today, International Paper is a much stronger company and we remain committed to creating sustainable returns for our shareholders."

Record and Payment Date Information for First-Quarter Dividend

The company declared a regular quarterly dividend of $0.1875 per share for the period from January 1, 2011 to March 31, 2011, inclusive, on its common stock, par value $1. This dividend is payable on March 15, 2011, to holders of record at the close of business on February 15, 2011.

The company also declared a regular quarterly dividend of $1 per share for the period from January 1, 2011 to March 31, 2011, inclusive, on the cumulative $4 preferred stock of the company. This dividend is also payable on March 15, 2011, to holders of record at the close of business on February 15, 2011.

About International Paper

International Paper (NYSE: IP) is a global paper and packaging company with manufacturing operations in North America, Europe, Latin America, Russia, Asia and North Africa. Its businesses include uncoated papers, industrial and consumer packaging and distribution. Headquartered in Memphis, Tenn., the company employs about 60,000 people in more than 20 countries and serves customers worldwide. 2009 net sales were more than $23 billion. For more information about International Paper, its products and stewardship efforts, visit internationalpaper.com .

This press release contains forward-looking statements. These statements reflect management's current views and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in these statements. Factors which could cause actual results to differ relate to business and credit market conditions which could cause the Company to maintain this new dividend rate for an extended period of time, or in the future decide to increase, reduce or suspend the dividend. These and other factors that could cause or contribute to actual results differing materially from such forward looking statements are discussed in greater detail in the company's Securities and Exchange Commission filings.

SOURCE International Paper