Goodyear declares 6 cent dividend at annual shareholder meeting

At its annual shareholder meeting yesterday, Goodyear Tire & Rubber declared a dividend of US$0.06 per share of common stock (payable June 1 2015 to shareholders of record on May 1 2015), and shareholders re-elected 13 of the company’s Board of Directors to new one-year terms. Goodyear chairman and chief executive officer Richard Kramer also reviewed the tyre maker’s performance in 2014.

“I am extremely pleased with what our teams accomplished over the past year through their disciplined execution of our strategy,” he said. “Our strategy is built to create sustainable value in the marketplace – where tyres are bought and sold and where our brand can be differentiated from the competition.”

These results, Kramer added, have helped fuel the company’s capital allocation plan, which balances investing in the business, paying down debt and returning cash to shareholders. In 2014, Goodyear increased its common stock dividend by 20 per cent and delivered almost $300 million to shareholders through dividends and stock repurchases.

“We’re confident in our strategy, and we are building for long term growth,” he continued. “This is a great industry to be in, both now and in the future. We play an indispensable role in people’s lives around the world, and we don’t see that changing. Our industry is thriving, and I’m confident that Goodyear will thrive as well, creating value for customers, consumers and shareholders for the long term.”

Further shareholder acts during the meeting included approving amendments to Goodyear’s Articles of Incorporation and Code of Regulations to reduce the voting standard to remove directors, eliminating cumulative voting and to reduce the voting standard for certain business combination transactions. They also voted to ratify the appointment of PricewaterhouseCoopers LLP as the company’s independent registered public accounting firm for 2015. A shareholder proposal regarding simple majority voting was not approved. In an advisory vote, shareholders approved the compensation of the company’s named executive officers.