U.S. Bancorp increases dividend by 21%

The bank declared a quarterly dividend of 40 cents, up from 33 cents the previous quarter.

The dividend is payable Jan. 16 to shareholders of record on Dec. 29.

“Increasing the dividend by 21 percent is an important part of our strategy to continue our commitment to return at least 80 percent of our earnings to shareholders through dividends and a stock repurchase program,” said President and CEO Richard K. Davis in a news release.

U.S. Bancorp, through its predecessor companies, has increased its annual common share dividend rate every year for 35 years and will have paid a dividend for 144 consecutive years as of Jan. 16.

The company’s board of directors also approved a regular quarterly dividend of $381.66 per share on U.S. Bancorp’s Series B Noncumulative Perpetual Preferred Stock, payable Jan. 16 to shareholders of record on Dec. 29.

Company shares (NYSE: USB) closed Tuesday at $34.38, nearing its 52-week high of $34.46.