Lehman Brothers Financial SA (LEHNQ)

[inesdefilia]

LIQUIDATING DIVIDEND FOR THE 3 YEARS:

"This difference has income tax implications to shareholders. While regular dividends are taxable, liquidating dividends are not taxable since they are merely the return of the shareholder's investments. Companies will issue IRS Form 1099-DIV, which clarifies the tax implications of the distribution"
"Companies will pay liquidating dividends under the following circumstances:
•The company has filed for bankruptcy and decided the best course of action would be to liquidate the net assets of the company.
•The company has decided to exit a business and has sold the operation's assets to another entity.

Distributions can only be made to shareholders after the money owed to creditors has been paid. Cash can only be paid to shareholders if the company's net assets are positive"

ALSO: 1- CASH!2-SHARES!3-?:)