INDIANAPOLIS, Feb. 20,
2025 /PRNewswire/ -- Allison Transmission Holdings
Inc. (NYSE: ALSN), a leading designer and manufacturer of
conventional and electrified vehicle propulsion solutions and the
largest global manufacturer of medium- and heavy-duty fully
automatic transmissions for commercial and defense vehicles,
announced today that its Board of Directors has approved an
increase in the Company's quarterly dividend from $0.25 to $0.27 per
share on the Company's common stock and has declared a cash
dividend of $0.27 per share on the
Company's common stock for the first quarter of 2025. Payment will
be made on March 14 to stockholders
of record at the close of business on March
3.
"For the sixth consecutive year, Allison's Board of Directors
has approved an increase to the quarterly dividend, demonstrating
once again our unwavering commitment to prudent balance sheet
management and capital allocation," said Fred Bohley, Chief Operating Officer, Chief
Financial Officer and Treasurer at Allison. "The consistent return
of capital to shareholders, while simultaneously investing across
the organization is supported by Allison's strong financial
performance, as well as our disciplined and well-defined approach
to the capital structure."
The payment of any future dividends will be at the discretion of
the Board of Directors and will be dependent upon Allison
Transmission's financial position, results of operations, available
cash, cash flow, capital requirements and other factors deemed
relevant by the Board of Directors.
The Company also announced that its Board of Directors has
approved a new authorization under the Company's current stock
repurchase program for the repurchase of up to an additional
$1 billion. The new authorization brings the total amount
authorized under the program to $5 billion.
Repurchases under the program may be made in the open market, in
privately negotiated transactions or otherwise, with the amount and
timing of repurchases depending on market conditions and corporate
needs. Open market repurchases will be structured to occur within
the pricing and volume requirements of Rule 10b-18. The
Company may also, from time to time, enter into
Rule 10b5-1 plans to facilitate repurchases of its shares
under this authorization. This stock repurchase program does not
obligate the Company to acquire any particular amount of its common
stock and the program may be extended, modified, suspended or
discontinued at any time at the Company's discretion.
Finally, the Company also announced today that its 2025 annual
meeting of stockholders will be held on May
7. The record date for the meeting will be March 10.
About Allison Transmission
Allison
Transmission (NYSE: ALSN) is a leading designer and
manufacturer of propulsion solutions for commercial and defense
vehicles and the largest global manufacturer of medium- and
heavy-duty fully automatic transmissions that Improve the
Way the World Works. Allison products are used in a wide
variety of applications, including on-highway vehicles
(distribution, refuse, construction, fire and emergency), buses
(school, transit and coach), motorhomes, off-highway vehicles and
equipment (energy, mining, construction and agriculture) and
defense vehicles (tactical wheeled and tracked). Founded in 1915,
the company is headquartered in Indianapolis, Indiana, USA. With a presence in
more than 150 countries, Allison has regional headquarters in
the Netherlands, China and Brazil, manufacturing facilities in the
USA, Hungary and India, as well as global engineering
resources, including electrification engineering centers in
Indianapolis, Indiana,
Auburn Hills, Michigan and
London in the United Kingdom. Allison also has more than
1,600 independent distributor and dealer locations worldwide. For
more information, visit https://allisontransmission.com.
Forward-Looking Statements
This press release
contains forward-looking statements. The words "believe," "expect,"
"anticipate," "intend," "estimate" and other expressions that are
predictions of or indicate future events and trends and that do not
relate to historical matters identify forward-looking statements.
You should not place undue reliance on these forward-looking
statements. Although forward-looking statements reflect
management's good faith beliefs, reliance should not be placed on
forward-looking statements because they involve known and unknown
risks, uncertainties and other factors, which may cause actual
results, performance or achievements to differ materially from
anticipated future results, performance or achievements expressed
or implied by such forward-looking statements. Forward-looking
statements speak only as of the date the statements are made. We
undertake no obligation to publicly update or revise any
forward-looking statement, whether as a result of new information,
future events, changed circumstances or otherwise. These
forward-looking statements are subject to numerous risks and
uncertainties, including, but not limited to: our participation in
markets that are competitive; our ability to prepare for, respond
to and successfully achieve our objectives relating to
technological and market developments, competitive threats and
changing customer needs, including with respect to electric hybrid
and fully electric commercial vehicles; increases in cost,
disruption of supply or shortage of labor, freight, raw materials,
energy or components used to manufacture or transport our products
or those of our customers or suppliers, including as a result of
geopolitical risks, wars and pandemics; global economic volatility;
general economic and industry conditions, including the risk of
recession; labor strikes, work stoppages or similar labor disputes,
which could significantly disrupt our operations or those of our
principal customers or suppliers; the highly cyclical industries in
which certain of our end users operate; uncertainty in the global
regulatory and business environments in which we operate; the
concentration of our net sales in our top five customers and the
loss of any one of these; the failure of markets outside
North America to increase adoption
of fully automatic transmissions; the success of our research and
development efforts, the outcome of which is uncertain; U.S. and
foreign defense spending; risks associated with our international
operations, including acts of war and increased trade
protectionism; the discovery of defects in our products, resulting
in delays in new model launches, recall campaigns and/or increased
warranty costs and reduction in future sales or damage to our brand
and reputation; our ability to identify, consummate and effectively
integrate acquisitions and collaborations; and risks related to our
indebtedness.
View original content to download
multimedia:https://www.prnewswire.com/news-releases/allison-transmission-announces-8-increase-to-quarterly-dividend-1-billion-increase-to-stock-repurchase-authorization-and-the-annual-stockholders-meeting-and-record-date-302381566.html
SOURCE Allison Transmission Holdings Inc.
