DALLAS–(BUSINESS WIRE)–Pioneer Natural Resources Company (NYSE:PXD) (“Pioneer” or “the Company”) announced today that its Board of Directors approved an increase in the Company’s semiannual cash dividend from $0.04 per share to $0.16 per share on Pioneer’s outstanding common stock (equivalent to $0.32 per share on an annualized basis). The dividend is payable April 12, 2018, to stockholders of record at the close of business on March 29, 2018.
Pioneer’s Board of Directors also approved a common stock repurchase program to offset the impact of dilution associated with annual employee stock awards. The stock repurchase program allows for up to $100 million of common stock to be repurchased during 2018.
The dividend increase combined with the stock repurchase program reflect the Company’s desire to return cash to shareholders and offset any share dilution. These actions also reflect the Company’s positive outlook for generating increasing cash flow based on its planned high-return drilling program, the expected proceeds from the planned asset divestitures that were announced earlier today and its strong balance sheet.
Pioneer may repurchase shares from time to time at management’s discretion in accordance with applicable securities laws, including through open market transactions, privately negotiated transactions or any combination thereof. In addition, shares may also be purchased pursuant to a trading plan meeting the requirements of Rule 10b5-1 under the Securities Exchange Act of 1934, as amended, which would permit shares to be repurchased when the Company might otherwise be precluded from doing so under insider trading laws. The amount and timing of repurchases are subject to a number of factors, including stock price, trading volume and general market conditions, and the program may be modified, suspended or terminated at any time by Pioneer’s Board of Directors. The Company intends to fund repurchases under the program from existing cash and cash equivalents or future cash flow.
Pioneer is a large independent oil and gas exploration and production company, headquartered in Dallas, Texas, with operations in the United States. For more information, visit Pioneer’s website at www.pxd.com.