CenturyTel raises dividend tenfold, shares soar

Yinka Adegoke NEW YORK (Reuters) - Rural telephone provider CenturyTel Inc raised its quarterly dividend tenfold and said it expects to meet or beat its second-quarter results forecast, sending its shares up 18 percent on Tuesday. CenturyTel Chief Executive Glen Post also said he saw room for more dividend increases in the future. "We believe that based on our leverage targets and our dividend payout ratio that we're announcing today, there is room for future dividend increases," Post told Wall Street analysts on a conference call. The company raised its quarterly dividend to 70 cents a share from 6.75 cents. It declared a special one-time dividend of 63.25 cents a share, payable July 21, to adjust its second-quarter payout to the new quarterly rate. Post said success in retaining access lines and in broadband Internet... [read full story]