Saturday, March 16, 2013 7:42:45 PM
• •
•On the Bogleheads web site Pshonore keeps saying KMR and EEQ distrubutions are like something he calls a mini-split. There is no such thing as a mini-split. As a distribution applies to KMR a payout in no way splits, or diminishes the shareholders ownership in the company.
• •
• A stock split does not change the size of a company, it just breaks it into smaller parts. A KMR distribution from KMP, to KMR shareholders increases the size of KMR by over half a billion dollars per year.
• •
• There is no such thing as Pshonore’s mini-stock split. When you fractionate a share into parts each piece is less than the whole. To be like a stock split, you would have to degrade, split, destroy, the original share by some amount, devaluing, diminishing, the share, leaving the total market value of the company unchanged. Unlike a split, KMR issues new shares, all of the original shares have the same full value that they had before, because they are not split, and the total market value of the company is increased from the addition.
• •
•There is nothing mini about a fractional share of a company like Berkshire Hathaway, or 200,000 shares of a lower priced security. For the Investor the concept of a mini-split does not exist. It makes about as much sense as saying that because the quarterly distribution from Microsoft Corporation (MSFT), Coke (KO), or McDonald’s Corporation (MCD) is a small fraction of a dollar, it is a “Mini-dividend!” If the +$5.00 annual dividend paid by KMP to KMR was to be considered mini, what would you call the $0.10 cents, fifty year dividend paid by Berkshire Hathaway?
• •
• The KMR distribution is in no way like a stock split. Your original shares as shown on NYSE charts, are completely intact, separate and unchanged. Telling people that something has been split implies something has been lost, when really something valuable has been gained.
• •
• Stock splits and stock dividends, can fracture ownership. The math is the same as cutting up a Pizza pie. In the case of KMR, KMP distributions, new issuance, fully paid up capital shares, nothing is deteriorated, nothing has been split-off from the original shares. They do not reduce or dilute. It is as if they were giving you an extra piece. A KMR stock dividend is all about addition, not subtraction.
Recent KMR News
- Holding(s) in Company • UK Regulatory • 09/18/2024 12:00:00 PM
- Kenmare Resources cuts interim dividend 14% as revenue and profit fall • Alliance News • 08/14/2024 10:54:23 AM
- Half-Yearly Financial Report for the six months to 30 June 2024 and interim dividend • UK Regulatory • 08/14/2024 06:00:00 AM
- Kenmare CFO moves to top job as managing director steps down • Alliance News • 08/13/2024 11:37:22 AM
- Appointment of Managing Director • UK Regulatory • 08/13/2024 06:00:00 AM
- Q2 and H1 2024 Production Report • UK Regulatory • 07/17/2024 06:00:00 AM
- Holding(s) in Company • UK Regulatory • 07/09/2024 03:30:00 PM
- Kenmare Resources celebrates progress at project in Mozambique • Alliance News • 07/04/2024 01:25:05 PM
- Project Update • UK Regulatory • 07/04/2024 06:00:00 AM
- Holding(s) in Company • UK Regulatory • 07/02/2024 04:30:00 PM
- Fatality at the Moma Mine • UK Regulatory • 06/03/2024 07:00:00 AM
- Director/PDMR Shareholding • UK Regulatory • 05/23/2024 11:00:00 AM
- Holding(s) in Company • UK Regulatory • 05/16/2024 04:15:00 PM
- Director/PDMR Shareholding • UK Regulatory • 05/15/2024 04:16:55 PM
- Result of AGM • UK Regulatory • 05/10/2024 01:30:00 PM
- Report on Payments to Governments • UK Regulatory • 05/10/2024 06:00:00 AM
- Holding(s) in Company • UK Regulatory • 04/15/2024 10:18:06 AM
- Holding(s) in Company • UK Regulatory • 04/11/2024 01:30:00 PM
- Kenmare Resources hoping production picks up after first quarter dip • Alliance News • 04/11/2024 09:25:46 AM
- Notice of Annual General Meeting • UK Regulatory • 04/11/2024 06:00:00 AM
- Q1 2024 Production Report • UK Regulatory • 04/11/2024 06:00:00 AM
- Holding(s) in Company • UK Regulatory • 04/05/2024 11:00:00 AM
- Holding(s) in Company • UK Regulatory • 04/04/2024 03:18:17 PM
- Publication of 2023 Sustainability Report • UK Regulatory • 04/04/2024 06:00:00 AM
- Publication of 2023 Annual Report • UK Regulatory • 04/04/2024 06:00:00 AM
VHAI - Vocodia Partners with Leading Political Super PACs to Revolutionize Fundraising Efforts • VHAI • Sep 19, 2024 11:48 AM
Dear Cashmere Group Holding Co. AKA Swifty Global Signs Binding Letter of Intent to be Acquired by Signing Day Sports • DRCR • Sep 19, 2024 10:26 AM
HealthLynked Launches Virtual Urgent Care Through Partnership with Lyric Health. • HLYK • Sep 19, 2024 8:00 AM
Element79 Gold Corp. Appoints Kevin Arias as Advisor to the Board of Directors, Strengthening Strategic Leadership • ELMGF • Sep 18, 2024 10:29 AM
Mawson Finland Limited Further Expands the Known Mineralized Zones at Rajapalot: Palokas step-out drills 7 metres @ 9.1 g/t gold & 706 ppm cobalt • MFL • Sep 17, 2024 9:02 AM
PickleJar Announces Integration With OptCulture to Deliver Holistic Fan Experiences at Venue Point of Sale • PKLE • Sep 17, 2024 8:00 AM