Cummins Raises Dividend, Lowers Full-Year Sales Forecast

Cummins Inc. saidÌıTuesday it will boost its stock dividend by 25%, but cut its 2012 sales forecast, citing

The diesel engine maker said its full-year revenue will be in line with 2011, at about $4.45 billion, down from a previous guidance of a 10% increase over that level. Cummins does not provide quarterly revenue guidance.

Cummins also said it was boosting its quarterly dividend by 10 cents, or 25%, to 50 cents per share, payable Sept. 1 to shareholders of record as of Aug. 22.

“We have seen demand in some markets weaken recently as growth in the global economy has slowed,†Chairman and CEO Tom Linebarger said in a statement.



“Order trends in the U.S. for trucks and power generation equipment have softened and demand in Brazil, China and India is not improving as we had previously expected,†he said.

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