SOURCE: The First Marblehead Corporation

June 06, 2007 17:54 ET

First Marblehead Announces 67% Increase in Regular Quarterly Cash Dividend

BOSTON, MA--(Marketwire - June 6, 2007) - The First Marblehead Corporation (NYSE: FMD) announced today that its Board of Directors has declared a regular quarterly cash dividend of $0.25 per share on the Company's Common Stock. The dividend is payable on June 25, 2007 to stockholders of record at the close of business on June 18, 2007.

This is the fourth consecutive dividend increase for the company and represents a 67% increase over the previous quarterly dividend of $0.15 per share. This also represents a 94% increase in full year dividends in FY 2007 of $0.62 per share (on a split-adjusted basis) over $0.32 per share (on a split-adjusted basis) paid over the same period last fiscal year.

"Our business model continues to allow us to deliver enhanced value to shareholders through dividends, stock buybacks, and investments in the company," said Jack Kopnisky, President and CEO of First Marblehead. "We are pleased that we have almost doubled our dividend and have repurchased stock as means of creating value for our shareholders over the past year."

In addition, from April 1, 2007 through June 6, 2007, the Company repurchased 1,319,100 shares of Common Stock under repurchase programs authorized by the Board. In April 2007, the Board authorized the Company to repurchase up to 10,000,000 shares from time to time.

About The First Marblehead Corporation.

First Marblehead, a leader in creating solutions for education finance, provides outsourcing services for private, non-governmental, education lending in the United States. The Company helps meet the growing demand for private education loans by providing national and regional financial institutions and educational institutions, as well as businesses and other enterprises, with an integrated suite of design, implementation and securitization services for student loan programs tailored to meet the needs of their respective customers, students, employees and members.

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Contact Information

  • Contact:

    Gary F. Santo, Jr.
    Vice President
    Investor Relations

    Janice D. Walker
    Vice President
    Corporate Communications