JPMorgan Chase to Increase Quarterly Common Stock Dividend to $0.25 Per Share

Remarking on the dividend action and repurchase authorization, Jamie Dimon, Chairman and CEO, said, “We are pleased to be in a position to increase our dividend and to establish a new share repurchase program. Our current expectation is to return to a payout ratio of approximately 30% of normalized earnings over time. We will operate the business with the objectives of maintaining a Basel I Tier 1 Common ratio of at least 9.0% and meeting the Basel III requirements substantially ahead of time. Our earnings power will allow us to generate significant capital in excess of our objectives allowing us to aggressively invest in our future.”

The Federal Reserve has approved utilization of up to $8.0 billion in 2011 of the $15 billion repurchase program. The share repurchase program replaces the prior $10 billion program that had approximately $3.2 billion of remaining authorization.