2f2,
What you received is correct. The ex-dividend date was Dec 18, 2006. The number of shares in your account at the opening of market on Dec 18 is the number of shares eligible for the extra shares. Any MDFY shares sold before the ex-dividend date would also lose the eligibility for the extra shares.
Refer to post #14278 with the correct information per the SEC from the link given by herbietheloveblog.
The SEC information is repeated below for easy reference :
Quote:
Sometimes a company pays a dividend in the form of stock rather than cash. The stock dividend may be additional shares in the company or in a subsidiary being spun off. The procedures for stock dividends may be different from cash dividends. The ex-dividend date is set the first business day after the stock dividend is paid (and is also after the record date).
If you sell your stock before the ex-dividend date, you also are selling away your right to the stock dividend. Your sale includes an obligation to deliver any shares acquired as a result of the dividend to the buyer of your shares, since the seller will receive an I.O.U. or "due bill" from his or her broker for the additional shares. Thus, it is important to remember that the day you can sell your shares without being obligated to deliver the additional shares is not the first business day after the record date, but usually is the first business day after the stock dividend is paid.
If you have questions about specific dividends, you should consult with your financial advisor. You can also get information by going to your library and reading Standard and Poor's Dividend Record Binder.
Unquote
maybank
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