Time Warner May Pay Shareholder Dividend
Time Warner Inc., the world’s largest media company, may give some of its $6.9 billion in cash back to shareholders, Chief Executive Richard Parsons said.
“Our focus is shifting from stabilizing and repositioning the company to deciding how to deploy our growing capacity,” Parsons, 56, said at a UBS media conference in New York. “In the coming months, we will also be reviewing programs to directly return capital to shareholders,” he said, without being specific.
Time Warner has doubled its cash in the last year and generated $1.4 billion in cash from operations in each of the last seven quarters, according to Bloomberg data. It has also cut debt as it sold assets.
Time Warner Inc. also said its America Online Internet unit, once seen as the company’s red-headed stepchild, could contribute some of the company’s most explosive revenue growth. The company expects advertising revenue at the unit to total close to $1 billion in 2004, up 33% from last year.
Shares of New York-based Time Warner rose 14 cents to $18.19 on the New York Stock Exchange.
The biggest entertainment stories
Get our big stories about Hollywood, film, television, music, arts, culture and more right in your inbox as soon as they publish.
You may occasionally receive promotional content from the Los Angeles Times.
