Reynolds American Board Declares 8.2 Percent Dividend Increase

Source from:  WINSTON-SALEM 02/17/2011

The board of directors of Reynolds American Inc. (NYSE: RAI) today announced an 8.2 percent increase in the quarterly cash dividend on the company's common stock to $0.53 per share from $0.49 per share. This action increases the annual dividend rate to $2.12 per share from $1.96 per share, bringing it in line with the 80 percent dividend payout target that the company announced in December. "RAI continues to seek ways to enhance value for our shareholders," said Daniel M. Delen, RAI's president and CEO-elect. "This increase aligns the dividend with the company's recently increased payout target, and demonstrates the company's commitment to returning value to shareholders." The dividend will be payable on April 1, 2011, to shareholders of record on March 10, 2011. This will be the 27th consecutive quarterly dividend paid to shareholders since the company became publicly traded in 2004, and the seventh dividend increase. Enditem