U.S. companies announced two dividend increases or initiations for each dividend trim or elimination in 2009. Income investors are excused for not cheering, though. The ratio of positive-to-negative payment changes is usually more lopsided. In 2007, it was 25-to-1.

Index fund holders suffered particularly sharp pay cuts, as several giant banks forsook their dividends this year. The banking sector had long spent plenty on dividends, and had come to dominate stock indexes that weight companies by market value. Standard & Poor s says dividends for its 500-stock index shrank 22.6% this year.

The companies listed below are in the good-news majority. Each has announced a dividend increase during December. Shareholders no doubt appreciate the extra income, but almost as important is the signal it sends. This year s events notwithstanding, company managers are generally loathe to cut dividends, so payment increases suggest confidence in future prosperity.

AT&T
Payment Increase: from $1.64 a share to $1.68 (per year)
Yield: 5.9%

AT&T (T) has taken knocks for sluggish, patchy data service reported by some users of Apple (AAPL) iPhone. The carrier is one-third of the way through a six-month effort to fix what is largely a congestion problem, wrote Chandan Sarkar of investment firm Auriga in a Dec. 10 note to clients. It s adding frequencies to increase bandwidth between callers and base stations. And it s adding high-speed data lines to help with cellular backhaul the carrying of data from base stations to the switches used in landline phone systems. AT&T is reportedly also considering metered data pricing, because 3% of its iPhone customers use 40% of the data. Operating conditions for AT&T look likely to improve in mid-2010, as hiring creates more demand from corporate customers, according to Sarkar. Shares trade at 13 times 2009 earnings, with 6% earnings growth forecast for 2010.

Bristol-Myers Squibb
Payment Increase: from $1.24 to $1.28
Yield: 4.9%

Bristol-Myers Squibb (BMY) has the second-largest exposure of U.S. drug companies to expiring patents, behind Eli Lilly (LLY), wrote Jon LeCroy of Hapoalim Securities in a Dec. 22 note initiating coverage of the stock with a sell recommendation. He estimates new products will replace 9.5% of current company sales by 2014, but that 46% of sales are exposed to patent loss. Just before Christmas, Bristol-Myers sold its infant formula maker, Mead Johnson Nutrition Company (MJN), in the largest U.S. spinoff since 2001. It now has a generous pot of cash to invest in new drugs, but seemingly few acquisition candidates, with many of the choicest ones already having been snapped up by other large, cash-rich drug makers with aging patents. Shares are perhaps priced for a contrarian bet, at 13 times earnings with a plump dividend yield.

General Mills
Payment Increase: from $1.88 to $1.96
Yield: 2.7%

The packaged-food business has weathered the current spending slowdown nicely. Slipping restaurant traffic has meant larger grocery bills, which has given a small boost to food companies sales, while lower commodity costs and careful expense control have flattered their profits. General Mills (GIS) has been one of the group s best performers. In its fiscal year ending May 2010, the company, whose brands include Cheerios, Pillsbury, Betty Crocker and Green Giant, is forecast to turn a sales increase of just under 1% into a 15% jump in earnings per share. Shares at 16 times earnings aren t the cheapest in the aisle, but a dependable dividend adds appeal. General Mills hasn t missed or trimmed a payment in 111 years.