With only days left before Pall Corp.'s longtime chief executive Eric Krasnoff's announced resignation date, the company's board has set its dividend at a decades-high level, at $0.175 a share.
This marks the fourth consecutive quarter the Port Washington filtration maker, with $2.6 billion in annual sales, has paid its investors $0.175 a share -- the highest since at least 1991. The dividend is payable Nov. 3 to shareholders of record at the close of business Oct. 13.
The board's decision comes eight months after Pall Corp.'s leadership was rocked by Krasnoff's disclosure of an extramarital “personal relationship” with a subordinate, the company's general counsel, Sandra Marino. The relationship was made public after Krasnoff's wife, Robin, filed for divorce.
Taking over for Eric Krasnoff next Monday will be Larry Kingsley, 48, who at the time of his selection was chairman of the board, president and chief executive of IDEX Corp., of Lake Forest, Ill.
Monday is expected to mark the end more than 60 years of Krasnoff family leadership at the company co-founded by his father, Abraham Krasnoff. Between father and son they served as chief executive for a combined 38 years. They helped build Pall Corp. into one of Long Island's largest companies, and one of the world's purification and filtration giants.
Pall has about 500 employees on Long Island and 10,000 others worldwide, producing systems to process water, blood, beer, wine, milk and other liquids.
Pall has seen its share price generally slide this month after it reported that, amid overall increases in sales and profits, the performance of its key industrial division lagged. Shares of Pall Corp. fell nearly 10 percent on Sept. 8, and analysts lowered expectations for the stock. The industrial division had an operating profit of $52 million, an $18 million decline compared to the same quarter in the previous year.
Above, Pall Corp. chief executive Eric Krasnoff outside of the company's headquarters in Port Washington. Krasnoff says he will leave his post at the company Oct. 3, 2011.