ResMed Announces Plan To Initiate Dividend; Update On Chief Executive Officer Succession
ResMed Inc. (NYSE: RMD) today announced plans to initiate a dividend beginning in fiscal year 2013.
Subject to declaration by the board of directors, ResMed plans to initiate a quarterly dividend of $0.17 per share in the first quarter of its fiscal 2013, which begins on July 1, 2012. ResMed plans to pay the dividend in US currency to holders of its common stock trading on the New York Stock Exchange (NYSE). Holders of Chess Depositary Instruments (CDIs) trading on the Australian Stock Exchange will receive an equivalent amount in Australian currency, based on the exchange rate on the record date, and reflecting the 10:1 ratio between CDIs and NYSE shares. ResMed expects the dividend will be unfranked for Australian tax purposes.
Additionally, ResMed's board of directors has reaffirmed its current process for chief executive officer succession. The board of directors has requested that Dr. Peter Farrell remain as chief executive officer until the end of calendar 2013, which he has agreed to do. In the meantime, potential internal chief executive officer candidates will continue to be evaluated. When the board decides that there are suitable internal candidates for the role, the board plans to compare and contrast those candidates with potential external candidates. The process is expected to be completed by the end of 2013.
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