Rockwell Automation OKs $1 billion in buyback funds

BOSTON Fri Jun 8, 2012 9:11am EDT

BOSTON (Reuters) - Rockwell Automation Inc (ROK.N), a maker of systems that help factories run more smoothly, said on Friday its board had authorized a $1 billion stock buyback and raised the quarterly dividend by 11 percent to 47 cents per share.

The buyback authorization, which is addition to about $51 million in funds remaining in a buyback authorized in 2007, would give the company room to repurchase about 10 percent of its outstanding shares at current prices.

As of Thursday's close, shares of the Milwaukee-based company were down 14.5 percent over the past year, a steeper drop than the 3 percent slide of the Standard & Poor's capital goods industry index .GSPIC.

(Reporting By Scott Malone; editing by John Wallace)