Payout Yield

State Street Corporation (NYSE: STT) announced a $1 billion accelerated share repurchase of its common stock with an affiliate of Lehman Brothers Inc. The transaction is expected to be completed within the next six months. Based on the closing per share sale price of State Street’s common stock on the New York Stock Exchange on July 19, 2007, $71.39, State Street will have a total of approximately 13.2 million shares of remaining capacity under its existing stock repurchase programs.

State Street Corporation is the world’s leading provider of financial services to institutional investors, including investment servicing, investment management and investment research and trading.

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PAYOUT YIELD ANALYSIS

With 337 million shares outstanding, the 13.2 million shares to be repurchased will result in a return of $2.80 per share.  Combined with the $0.88 annualized the dividend, the repurchase will generate a Total Payout of $3.68. With a $71 share price, the Total Payout Yield will be 5.2%.

- Payout Yield Staff