HEICO Corp. Declares a 5-for-4 Stock Split, Increases the Semi-Annual Cash Dividend by 9 Percent & Sets the Annual Meeting & ...
December 15 2017 - 9:00AM
Business Wire
Marks the 16th Stock Split or Stock Dividend in
the Past 22 Years and a 22% Cumulative Cash Dividend Increase over
the Past 12 Months
HEICO Corporation (NYSE:HEI.A) (NYSE:HEI) announced today that
its Board of Directors approved a 5-for-4 stock split on both its
Class A Common Stock and Common Stock. The stock split will be
effected in the form of a 25% stock dividend on each class of the
Company’s shares.
HEICO’s Board of Directors approved a 9% increase in the
semi-annual cash dividend to $.0875 per share ($.07 per share on a
proforma 5-for-4 stock split basis) payable on both classes of
common stock. The proforma cash dividend of $.07 per share will
also be paid on the new shares to be issued with the stock
dividend.
Both the stock and cash dividends are payable on January 17,
2018 to shareholders of record as of January 3, 2018. Cash will be
paid in lieu of fractional shares based on the last sale price of
each share class on the record date.
This announcement marks HEICO’s second stock split and third
cash dividend increase in the past year, as well as the
16th stock split or stock dividend since 1995 and HEICO’s
79th consecutive semi-annual cash dividend since 1979. The
cash dividend represents a cumulative increase of 22% since January
1, 2017.
Laurans A. Mendelson, HEICO’s Chairman and Chief Executive
Officer, along with HEICO’s Co-Presidents, Eric A. Mendelson and
Victor H. Mendelson, commented, “This stock split and increased
cash dividend reflects our Board of Director’s continuing
confidence and enthusiasm in HEICO's long-term growth and financial
outlook, while also retaining sufficient capital to invest in our
internal growth objectives and acquisition strategies.”
Considering the reinvestment of cash dividends, and the impact
of prior stock splits and stock dividends, a $100,000 investment in
HEICO shares in 1990 has become worth approximately $24.2 million
today, representing a compound annual growth rate of 22%.
HEICO also announced that its Annual Shareholders’ Meeting would
be held on March 16, 2018. Shareholders of record at the close of
business on January 17, 2018 will be entitled to vote at the
meeting.
HEICO Corporation is engaged primarily in the design,
production, servicing and distribution of products and services to
certain niche segments of the aviation, defense, space, medical,
telecommunications and electronics industries through its
Hollywood, Florida-based Flight Support Group and its Miami,
Florida-based Electronic Technologies Group. HEICO’s customers
include a majority of the world’s airlines and overhaul shops, as
well as numerous defense and space contractors and military
agencies worldwide, in addition to medical, telecommunications and
electronics equipment manufacturers. For more information about
HEICO, please visit our website at http://www.heico.com.
The Company has two classes of common stock traded on the NYSE.
Both classes, the Class A Common Stock (HEI.A) and the Common Stock
(HEI), are virtually identical in all economic respects. The only
difference between the share classes is the voting rights. The
Class A Common Stock (HEI.A) has 1/10 vote per share and the Common
Stock (HEI) has one vote per share. There are currently
approximately 50.7 million shares of HEICO's Class A Common Stock
(HEI.A) outstanding and 33.8 million shares of HEICO's Common Stock
(HEI) outstanding. The stock symbols for HEICO's two classes of
common stock on most web sites are HEI.A and HEI. However, some
websites change HEICO's Class A Common Stock trading symbol (HEI.A)
to HEI/A or HEIa.
Certain statements in this press release constitute
forward-looking statements, which are subject to risks,
uncertainties and contingencies. HEICO's actual results may differ
materially from those expressed in or implied by those
forward-looking statements as a result of factors including: lower
demand for commercial air travel or airline fleet changes or
airline purchasing decisions, which could cause lower demand for
our goods and services; product specification costs and
requirements, which could cause an increase to our costs to
complete contracts; governmental and regulatory demands, export
policies and restrictions, reductions in defense, space or homeland
security spending by U.S. and/or foreign customers or competition
from existing and new competitors, which could reduce our sales;
our ability to introduce new products and services at profitable
pricing levels, which could reduce our sales or sales growth;
product development or manufacturing difficulties, which could
increase our product development costs and delay sales; our ability
to make acquisitions and achieve operating synergies from acquired
businesses; customer credit risk; interest, foreign currency
exchange and income tax rates; economic conditions within and
outside of the aviation, defense, space, medical,
telecommunications and electronics industries, which could
negatively impact our costs and revenues; and defense budget cuts,
which could reduce our defense-related revenue. Parties receiving
this material are encouraged to review all of HEICO's filings with
the Securities and Exchange Commission, including, but not limited
to filings on Form 10-K, Form 10-Q and Form 8-K. We undertake no
obligation to publicly update or revise any forward-looking
statement, whether as a result of new information, future events or
otherwise, except to the extent required by applicable law.
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HEICO CorporationVictor H. Mendelson, 305-374-1745 Ext.
7590orCarlos L. Macau, Jr., 954-987-4000 Ext. 7570
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