US Bancorp lifts dividend 3.5 cents, to 23 cents

Associated Press

MINNEAPOLIS (AP) -- U.S. Bancorp is lifting its dividend 3.5 cents, to 23 cents, after receiving approval from the Federal Reserve.

The Fed cleared the 18 percent dividend increase and the Minneapolis-based bank's plan to buy back $2.25 billion of its own stock in March after the lender passed a "stress test" to measure how it would fare in a recession.

The bank said Tuesday that the dividend will be paid on July 15 to shareholders of record on June 28.

U.S. Bancorp shares rose 17 cents to $35.40 in afternoon trading.