Replies to post #16650 on The Golden Lounge

[yayaa]

*PALR* Ut's .015x.016

[EdF]

Another way to look at MSSI dividend. The record date was 29 September, the Payable date was 8 October and the Exdate was 14 October.

So if one bought stock prior to 10/14 but after the 9/29, the new investor was purchasing pre-split shares because the split did not become legally effective until 10/14. (if you use the ex-date as legal precedence over the payable date). In that case, the company does not owe you the split shares but the person that sold you his pre-split shares prior to the ex-date.

I'm not sure if that makes sense but I guess the bottom line is whether the SEC will recognize the Ex-date or the Payable date.

[bobkubecka]

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."
http://www.sec.gov/answers/dividen.htm