American Electric Power Co (AEP) will raise its quarterly dividend by 5.4% to $0.59 per share in the fourth quarter of 2016.

The dividend is payable Dec. 9, 2016, to shareholders of record as of Nov. 10, 2016. AEP has paid a cash dividend on its common stock every quarter since July 1910.

"This dividend increase reflects our confidence in growing shareholder value through our regulated business strategy," said Nicholas K. Akins, AEP chairman, president and chief executive officer. "Our dividend has grown 20 percent over the past five years, thanks to the hard work of our employees and their focus on continuous improvement. We are pleased to continue AEP's tradition of delivering strong financial results and rewarding our investors with a dividend for the 426th consecutive quarter."

AEP currently has an estimated dividend yield of 3.7% based on Tuesday's $63.46 closing price.

American Electric Power Company, Inc. (AEP) is an electric utility company. AEP's family of companies includes utilities AEP Ohio, AEP Texas, Appalachian Power (in Virginia and West Virginia), AEP Appalachian Power (in Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana and east Texas). AEP also owns AEP Energy, AEP Energy Partners, AEP OnSite Partners, and AEP Renewables, which provide innovative competitive energy solutions nationwide. AEP has paid a cash dividend on its common stock every quarter since July 1910.