New York Times Company to Start Paying Dividend

The New York Times Company announced on Thursday that it would pay a dividend to its shareholders for the first time in five years.

After a meeting of its board, the company said the board had voted to approve a dividend of four cents per share to all shareholders of record as of Oct. 9, 2013. The dividend will be paid on Oct. 24, the week before The Times announces its third quarter earnings. The Times has not paid a dividend since Dec. 14, 2008.

In a statement, Mark Thompson, president and chief executive of The Times, said that the board had concluded “that the strength of the balance sheet justified the restoration of a dividend.”

But Mr. Thompson warned that the company would remain cautious in its financial strategy.

“Given the expectation of continued volatility in advertising revenue and the fact that our growth strategy is at an early stage of development, we will maintain a prudent view of both the balance sheet and free cash flow,” he said.