Arkansas Best issues quarterly dividend

The Arkansas Best Corp. board of directors have approved a quarterly dividend payment of 3 cents per share on May 20 to shareholders of record as of May 20.

The Fort Smith-based transportation holding company announced Jan. 28 it would reduce its quarterly dividends from 15 cents to 3 cents per share. The cut was made to preserve cash during the national freight recession.

The dividend reduction could save the company about $12 million a year — based on the company’s reporting of a little more than 25 million shares outstanding. The dividend reduction is the first since the company began to issue dividends in January 2003. The first dividend rate of 8 cents per share was boosted to 12 cents per share in January 2004, and up to 15 cents per share in July 2005.

Arkansas Best Corp. is scheduled to report quarterly earnings Friday (April 23) morning.