PITTSBURGH -- Mellon Bank Corp. increased its quarterly common stock dividend to 56 cents per share from 38 cents, an increase of 47%. The dividend is payable on Feb. 15 to shareholders of record Jan. 31.

"This sizable increase to our common stock dividend provides added value for our shareholders and reflects the corporation's excellent prospects for continued success going forward," the company said in a press release.

The board also discontinued the 3% discount from market price currently available on shares purchased through the company's dividend reinvestment and common stock purchase plan. Starting with purchases made in January 1994, shares bought under the plan with reinvested dividends or optional cash payments will be acquired at market value, without any discount, the company said.

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