Cisco Systems, Inc. (CSCO) also generated losses for the Fund during the period as earnings expectations were recently cut due to weakness in emerging markets. We are regarding our investment in Cisco with caution, but for now we continue to hold the shares due to the attractive dividend yield and the potential for dividend growth, even with muted earnings growth, enabled by the company’s low payout ratio and strong balance sheet.
From Meridian Funds's semi-annual report ended December 31, 2013.
