ACTON, Mass., Nov. 17 Psychemedics Corporation(Nasdaq: PMD) today announced a special dividend of $.50 per share payableDecember 24, 2008 to shareholders of record on December 10, 2008.
Raymond C. Kubacki, Chairman and Chief Executive Officer, said,"Psychemedics' strong earnings and cash flow have resulted in aggregate cashand investments of approximately $9.1 million dollars and no long term debt asof September 30, 2008. The board of directors decided to enhance shareholderreturn with this special dividend which also allows our shareholders to accruethe benefit under the current tax structure. The Company has no plans at thistime to change its current dividend rate. We believe this special dividend isconsistent with our continuous commitment to enhance shareholder value andreturns."
It is important to note this special dividend is in addition to theregular quarterly dividend the Company announced on November 3, which ispayable to shareholders of record as of December 3, 2008 to be paid onDecember 17, 2008.
Psychemedics is the world's largest provider of testing for drugs of abuseusing hair analysis with thousands of corporations relying on the patentedPsychemedics drug testing services. Psychemedics' clients include over 10% ofthe Fortune 500, some of the largest police departments in America and FederalReserve Banks.
The Psychemedics web site is www.drugtestwithhair.com
Cautionary Statement for purposes of the "safe harbor" provisions of thePrivate Securities Litigation Reform Act of 1995: From time to time,information provided by Psychemedics may contain forward-looking informationthat involves risks and uncertainties. In particular, statements contained inthis release that are not historical facts (including but not limited tostatements concerning growth, earnings, profit margins, earnings per share,revenues, dividends, future business, new accounts, customer base, marketshare, test volume and sales and marketing strategies) may be "forwardlooking" statements. Actual results may differ from those stated in anyforward-looking statements. Factors that may cause such differences includebut are not limited to risks associated with the expansion of the Company'ssales and marketing network, development of markets for new products andservices offered, the economic health of principal customers of the Company,government regulation, including but not limited to FDA regulations,competition and general economic conditions and other factors disclosed in theCompany's filings with the Securities and Exchange Commission.Contact: Raymond Ruddy Vice President and Controller (978) 206-8220 Raymondr@psychemedics.com
SOURCE Psychemedics Corporation