Foot Locker announces US$275 million investment for 2021

United States
Published:  25 February, 2021

The Board of the New York-based specialty athletic retailer authorised two capital allocation initiatives which provide for both elevated investment in the organic growth of its business and an increase in its dividend.

Foot Locker’s Board of Directors approved a US$275 million capital expenditures program for 2021, up from the approximately US$155 million spent in 2020. “The plan for the coming year signals a return to a pre-Covid level of investment necessary to achieve its long-term strategic imperatives”, said the company, adding that “a meaningful portion of funds” will be invested into its digital capabilities and infrastructure, enhancement of the digital customer experience, as well as initiatives to further streamline global supply chains. The capital plan is also to include investments to accelerate the Company's community-based off-mall store rollout in markets across the world, as well as to elevate the customer experience in core stores. Furthermore, the Board of Directors declared a quarterly cash dividend on the Company's common stock of US$0.20 per share, a 33% increase from the prior US$0.15 per share.