Foot Locker Inc. said its Board of Directors approved a $275 million capital expenditures program for 2020, compared to the approximately $187 million spent in 2019.
The capital spending planned for the coming year reflects increased investments in community-based power stores in markets throughout the world, as well as ongoing investments to elevate its core stores. The spending program also includes ongoing digital investments and initiatives to upgrade the Company’s U.S. supply chain.
The Board of Directors declared a quarterly cash dividend on the company’s common stock of 40 cents per share, which will be payable on May 1, 2020 to shareholders of record on April 17, 2020. The 5 percent increase in the company’s dividend is the tenth consecutive year with a significant increase and is equivalent to an annualized rate of $1.60 per share.
“Through these two actions, our Board of Directors expressed its confidence in our ability to build on our position at the center of youth culture, by elevating both our exciting physical stores and our strong digital ecosystem, at the same time that we once again enhance returns to shareholders through a meaningful dividend increase,” said Richard Johnson, Foot Locker, Inc.’s chairman and chief executive officer. “Our strong capital structure allows us to pursue these initiatives, to execute an active and opportunistic share repurchase program, and to seize the right opportunities identified by our corporate development team, as they continue to evaluate a wide range of investment and partnership initiatives.”
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