FOR IMMEDIATE RELEASE
August 23, 2005
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For More Information Contact:
Paul Runice, Treasurer
(952) 937-4003
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MTS Systems Corporation Increases Dividend by 25%
Declares 95th consecutive dividend
Eden Prairie, MN., August 23, 2005 – MTS Systems Corporation (NASDAQ: MTSC) today announced that its Board of Directors has declared a fourth quarter dividend of 10 cents per share, a 25% year-over-year increase in the quarterly common dividend. The dividend represents MTS Systems Corporation’s 95th consecutive quarterly dividend and the second year in a row that the Company has increased its dividend.
“This dividend increase reflects our confidence in the Company’s financial position, our strong cash flow and the business momentum worldwide,” said Sidney W. Emery, Jr., Chairman and Chief Executive Officer. “In the past two years we have concentrated on solidifying our market position in both business segments. We have made excellent progress in adapting to our customers needs and in increasing the Company’s overall profitability. This dividend increase is consistent with our policy to pay out approximately one-quarter of our earnings to our shareholders over the long run.”
The regular fourth quarter dividend of 10 cents (40 cents per share new annual rate) will be paid October 3, 2005 to shareholders of record September 15, 2005. MTS Systems Corporation has approximately 19,652,000 shares outstanding at the end of the third quarter July 2, 2005.
About MTS Systems Corporation
MTS Systems Corporation is a global supplier of testing products and industrial sensors. MTS testing products help customers accelerate and improve their design, development, and manufacturing processes and are used for determining the mechanical behavior of materials, products, and structures. They include computer-based mechanical testing and simulation systems, modeling and testing software, and consulting services. MTS position sensors are used to improve the productivity, performance and safety of a wide variety of industrial equipment. MTS had 1,615 employees and revenue of $367 million for the fiscal year ended October 2, 2004. Additional information on MTS can be found on the worldwide web at http://www.mts.com.
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