NEW YORK--(BUSINESS WIRE)--Dec. 11, 2012--
International Flavors & Fragrances Inc. (NYSE: IFF), a leading global
creator of flavors and fragrances for consumer products, announced that
its Board of Directors has declared a regular quarterly cash dividend of
$0.34 per share of the Company’s common stock, payable on December 28,
2012 to shareholders of record as of December 21, 2012. This dividend is
intended to be in lieu of the regular quarterly cash dividend which
traditionally has been declared in December and paid in January. The
earlier dividend payment is due to a potential increase in the dividend
tax rate in 2013.
The Company also announced that its Board of Directors has authorized a
$250 million share repurchase program, which is expected to commence in
the first quarter of 2013 and to be completed by the end of 2014. At the
current market price, the new program would enable the repurchase of
approximately 4 million shares, or approximately 5% of the shares
currently outstanding. The purchases will be made from time to time on
the open market or through private transactions as market and business
conditions warrant. Repurchased shares will be placed into treasury
stock.
Doug Tough, IFF’s Chairman and CEO, said, “We believe purchasing our own
shares at this time is a prudent use of our cash. Given the strength of
our balance sheet and our overall financial flexibility, we believe we
are well positioned to invest in the future growth of our business,
while at the same time returning cash to shareholders through dividend
payments and share repurchases. Over the past 10 years, IFF has returned
nearly $1.9 billion to shareholders through dividend payments and share
repurchases. This share repurchase program demonstrates our continued
confidence in IFF’s long-term growth prospects and our commitment to
building shareholder value.”
About International Flavors & Fragrances Inc.
International Flavors & Fragrances Inc. (NYSE: IFF) is a leading global
creator of flavors and fragrances used in a wide variety of consumer
products. Consumers experience these unique scents and tastes in fine
fragrances and beauty care, detergents and household goods, as well as
beverages, sweet goods and food products. The Company leverages its
competitive advantages of consumer insight, research and development,
creative expertise, and customer intimacy to provide customers with
innovative and differentiated product offerings. A member of the S&P 500
Index, IFF has more than 5,600 employees working in 32 countries
worldwide. For more information, please visit our website at www.iff.com.
Cautionary Statement Under The Private Securities Litigation Reform
Act of 1995
This press release includes “forward-looking statements” under the
Federal Private Securities Litigation Reform Act of 1995, including
statements regarding (i) the Company’s belief that its balance sheet and
overall financial flexibility will enable it to invest in the business
while contemporaneously returning cash to shareholders through dividends
and share repurchases and (ii) the amount and timing of share
repurchases. These forward-looking statements are qualified in their
entirety by cautionary statements and risk factor disclosures contained
in the Company’s Securities and Exchange Commission filings, including
the Company’s Annual Report on Form 10-K filed with the Commission on
February 28, 2012. The Company wishes to caution readers that certain
important factors may have affected and could in the future affect the
Company’s expectations could cause the Company’s actual results for
subsequent periods to differ materially from those expressed in any
forward-looking statements made by or on behalf of the Company. These
factors include, but are not limited to: (1) the economic climate for
the Company’s industry and demand for the Company’s products; (2)
fluctuations in the price, quality and availability of raw materials;
(3) changes in consumer preferences; (4) the Company’s ability to
implement its business strategy, including the achievement of
anticipated cost savings, profitability, realization of price increases
and growth targets; (5) the Company’s ability to successfully develop
new and competitive products and enter and expand its sales in new and
other emerging markets; (6) the impact of currency fluctuations or
devaluations in the Company’s principal foreign markets; (7)
uncertainties regarding the outcome of, or funding requirements, related
to litigation or settlement of pending litigation, uncertain tax
positions or other contingencies; (8) the effect of legal and regulatory
proceedings, as well as restrictions imposed on the Company, its
operations or its representatives by U.S. and foreign governments; and
(9) adverse changes in federal, state, local and foreign tax legislation
or adverse results of tax audits, assessments, or disputes. With respect
to repurchases under the Company's share repurchase program, the amount
of shares repurchased, if any, and the timing of such repurchases will
depend on, among other things, the trading price of the Company's common
stock, which may be positively or negatively impacted by the repurchase
program, market and business conditions, the availability of stock, the
Company's financial performance or the Company’s determination following
the date of this announcement to use the Company's funds for other
purposes. New risks emerge from time to time and it is not possible for
management to predict all such risk factors or to assess the impact of
such risks on the Company’s business. Accordingly, the Company
undertakes no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information,
future events, or otherwise.
Source: International Flavors & Fragrances Inc.
International Flavors & Fragrances Inc.
Investors:
Shelley
Young, 212-708-7271
Director, Investor Relations
