Cash-rich Microsoft may raise dividend
SeattlePI | at | by Mike
Microsoft, the world's largest company by market value, has $46 billion in cash and may raise its payout to shareholders after deciding employees will receive stock instead of options to buy shares.
"The individuals that make the decisions on the dividend are the senior executives," said Diane Garnick, chief U.S. portfolio strategist at Dresdner Kleinwort Wasserstein. "Since these executives are going to be paid in stock rather than options, they will be the beneficiaries of those dividends." Allianz AG owns both Dresdner Kleinwort and Dresdner RCM, an investment firm that held 77 million Microsoft shares in March.