The board of directors of Yum! Brands Inc. have given the green light for the repurchase of $750 million of the company's outstanding stock throughout the next 18 months.
This is in addition to the approximately $130 million authorized in the March 2010 plan.
The move is anticipated to boost the Louisville, Ky.-based company's earnings as it lowers the number of outstanding shares. It comes on the heels of an announcement that Yum! would be selling two of its five concepts, Long John Silver's and A&W.
Yum! continues to focus on its Pizza Hut, Taco Bell and KFC brands.
The company remains committed to returning significant cash to shareholders through both share repurchases and dividends. In September, Yum! increased its quarterly dividend 19 percent to an annual rate of $1 per share. This was the sixth consecutive annual increase since the quarterly dividend was initiated in 2004.
