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Re: tmsocha post# 145844

Sunday, 08/01/2010 4:15:43 PM

Sunday, August 01, 2010 4:15:43 PM

Post# of 221875
From yesterday's post:

It is not illegal for a corporation to pay dividends at a deficit. Look at all the utilities that were building in the 1960-1980's that were paying in excess of their earnings as they installed new generating plants. It is considered a return of capital and decreases the cost basis. [e.g. Texas Utilities, Long Island Lighting, Florida Power & Light, etc.]
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