PetSmart board approves 25 percent jump in dividend, new $400 million share buyback program

PetSmart board raises dividend by 25 percent

PHOENIX — Pet food and accessory retailer PetSmart Inc. said Monday its board approved a 25 percent increase in the company’s quarterly dividend.

The company will pay a dividend of 12.5 cents, up from 10 cents, on Aug. 13 to shareholders of record at the close of business on July 30.

PetSmart said its board also approved a new $400 million share buyback program, which expires in January 2010. It replaces an existing $350 million program that was approved last June.

CEO Bob Moran said in a statement that the dividends and share repurchases demonstrates the stability and continued strength of the business.