Kroger to repurchase up to $1 billion of its stock

CINCINNATI (AP) -- Supermarket operator Kroger said Thursday that it will buy back up to $1 billion of its shares.

The Cincinnati-based company said that the repurchase program replaces its existing plan, which had roughly $2 million remaining.

Kroger, which has 2,640 grocery stores nationwide under banners such as QFC, Food 4 Less, and Fred Meyer, also declared a regular quarterly dividend of 16.5 cents per share, payable June 1 to shareholders of record May 15.

The company said that over the last four quarters, it has used its strong cash flow to return more than $928 million to shareholders through share buybacks and dividends.

Shares of The Kroger Co. slipped 33 cents to $43.53 by late afternoon, a more modest drop than the broader market.