Yum! Brands, Inc. (YUM), the operator of Taco Bell, Pizza Hut, and KFC fast food chains, is actively managing its capital and returning much of its free cash to shareholders via share repurchases and dividends

The company’s Board recently authorized an additional share repurchase program of $300 million to be completed in a year, following the authorization of a same-size program in September 2009.
In the period 2004 and 2009, Yum! had bought back shares worth $5.6 billion at a price of $28.23 each, which reduced the number of outstanding shares by 21%. To date, Yum! has repurchased shares worth approximately $130 million under its $300 million authorization, announced in September 2009.
Louisville, Kentucky-based, Yum! is committed to enhancing shareholders’ return. The company has also been increasing its dividend consistently since the inception of the dividend program in 2004. The company increased its dividend by 11% to 21 cents a share in September 2009. Yum! targets an annual dividend payout ratio of 35% to 40% of net income. 

Yum! has recently declared a quarterly dividend of 21 cents payable on May 7, 2010, to shareholders of record as on April 16, 2010. 

The company currently operates more than 37,000 restaurants in over 110 countries and territories.
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