IGT Dividend Issued on Eve of Contested Shareholders Meeting

Slots manufacturer International Game Technology (IGT) has issued an 8 cents per share dividend on the eve of a hotly contested shareholders meeting. 

The IGT board of directors declared the dividend, which is a 33 percent increase over this same quarter last year.

"This is a demonstration of our continued commitment to return capital to shareholders, efficiently and prudently, driven by the strong financial performance of the company," Hart said.

From the Las Vegas Review Journal:

Macquarie Securities gaming analyst Chad Beynon told investors IGT has roughly $200 million of cash on the balance sheet and still has $600 million left in it share repurchase program.

"We continue to have a positive view on how the company is going about returning cash to shareholders through both dividends and share repurchases," Beynon said. "We think the company is making the right moves to return cash to shareholders and we think there is further opportunity for dividend increases in the future."

Activist investor Jason Ader is attempting to change the makeup of the current IGT board with three hand-picked individuals who include a former company Chairman.  Ader’s group controls three percent of IGT’s outstanding shares.

- Aaron Goldstein, Gambling911.com