Progress Energy (PGN) Plans 12.5c/Share Quarterly Dividend

The board of directors of Paragon Offshore plc (NYSE: PGN) announced plans to initiate a quarterly cash dividend of $0.125 per fully diluted share, or $0.50 per fully diluted share on an annualized basis. Paragon anticipates that the first quarterly dividend would be declared in November 2014 and paid shortly thereafter.

*** Annual yield on the dividend would be about 7.4 percent.

President and Chief Executive Officer, Randall D. Stilley, commented, "Following a robust review of our near-term capital allocation opportunities, I am pleased to report that the board has determined to commence this quarterly dividend program which demonstrates our confidence in the current strength of the business, as well as our future prospects. The size of our program is sustainable based on our views of Paragon's financial strength and leaves room for future growth. Furthermore, we are exploring additional opportunities, such as debt reduction, share repurchases, and potential accretive acquisitions, to enhance long-term shareholder value."

Paragon noted that any proposal or declaration of cash dividends by its board of directors, and the amount thereof, depends on many factors, including our financial condition, earnings, future business prospects, opportunities, share price, capital requirements and any other factors Paragon's board of directors may deem relevant. Declaration of the first quarterly dividend is also subject to the completion of Paragon's audited UK statutory balance sheet, which we anticipate will be completed by November 2014.

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