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Limited Brands Announces $3 Per Share Special Dividend
COLUMBUS, Ohio, Dec. 10, 2012 /PRNewswire via COMTEX/ -- As part of its ongoing commitment to return value to shareholders, Limited Brands LTD -1.02% announced today that its Board of Directors has declared a special dividend of $3 per share. The special dividend will be paid on Dec. 26, 2012, to shareholders of record at the close of business on Dec. 20, 2012.
Just how special are special dividends?
Posted Sunday, Dec. 09, 2012 Updated Sunday, Dec. 09, 2012 0
WASHINGTON — Companies are rushing special payments to shareholders to take advantage of lower dividend tax rates before they go up Jan. 1. But investors should beware: Not all special payments are created equal.
Some companies are borrowing a lot of money to make the payments. At others, the payments amount to corporate self-help, rewarding large shareholders who also sit on the board.
In addition to those companies, dozens have decided to move dividends that were scheduled for January into December - a no-brainer when you consider the tax advantage, says Howard Silverblatt, senior index analyst at S&P Dow Jones Indexes.
"Pay me in January or pay me in December: It makes no difference to the company," Silverblatt says. "As a shareholder, if you pay me in January, you'd better have a good explanation for that."
That's because a January payment may nearly triple the tax rate that the highest earners must pay on dividends - to 43.4 percent from 15 percent, the rate in place since 2003.
If decade-old tax cuts are allowed to expire at the end of this year, dividends will be taxed like ordinary income, and the top rate for ordinary income will rise to 39.6 percent from 35 percent.
High earners will pay an additional 3.8 percent to offset the cost of President Barack Obama's health care overhaul.
Obama and Republicans in Congress are fighting over whether the top rate for ordinary income should increase. Republicans would prefer that the dividend tax remain at 15 percent but have not taken a hard line on it publicly.
Between Nov. 1 and Dec. 5, 349 companies moved up their dividends or paid special dividends, according to Silverblatt. That is higher than the 314 irregular dividends paid last year in all of November and December. Silverblatt expects the pace of early dividends to pick up if Washington keeps dawdling.
Many companies go beyond moving up ordinary payments. They are declaring special, one-time dividends to take advantage of the lower tax rate while it lasts. Those special dividends can dramatically alter a company's finances.
Normally, when a board declares a special dividend, it's a sign of financial strength, experts say. That confidence can attract investors and boost the company's stock price.
But these are not normal times. With so many companies declaring special dividends, professional traders have a warning for everyday investors.
"If they really thought this was the right plan, they would have done it already," says Peter Tchir, who runs the hedge fund TF Market Advisors. He believes that some companies are not considering the long-term costs of their decisions.
"People should scour these companies and see if they're doing some damage to themselves on the credit side," he says.
Many of the special dividends, it turns out, are not drawn from the proverbial mountain of cash that companies have been sitting on since the onset of the Great Recession.
Costco last month declared a special dividend of $7 per share, or about $3 billion. To pay for it, the company borrowed $3.5 billion. That caused Fitch, a rating agency, to downgrade Costco, though its rating remains relatively high. Costco declined to comment.
Brown-Forman Corp., which makes Jack Daniels and other liquors, will pay for its $4 per share special dividend with a combination of cash and debt, executives said on a conference call with financial analysts. That amounts to $853.2 million.
The move was prudent, Chief Financial Officer Donald Berg said on the call, because "we have a proven track record as strong stewards of capital."
"Our recent dividend announcement reinforces our position as a company focused on delivering superior risk-adjusted returns for all of our shareholders," Berg said. Brown-Forman did not respond to a request for further comment.
For some companies, the special dividend appears to be a statement of opposition to possible tax increases.
"FOREGONE TAX RATES STIMULATE SHAREHOLDER PAYBACK," blares the headline to a press release from National Beverage Corp., the company behind Faygo and Shasta soft drinks. "'Patriotism' - If Only We Could Bottle It!" the release concludes.
Later, when National Beverage set the size of its special dividend at $2.55 per share, totaling, $118.1 million, it reassured investors that there would be no cash crunch. The decision was based in part on "a commitment by our largest shareholder to make available additional equity should the occasion develop," chairman and CEO Nick Caporella said in the announcement.
Caporella was referring to himself. He owns 74 percent of the company's outstanding shares, either directly or through a company he controls. For him, the special dividend was worth $87.3 million before taxes.
Under the current tax rate, he will pay about $13.1 million on the dividend. By taking money out of the company early, Caporella saved for himself as much as $24.5 million that might have gone to the government. National Beverage declined to comment.
Tom Pemberton, of Pemberton Financial Planning, says it's not unusual for companies to pay questionable special dividends to satisfy big shareholders - especially when they sit on the board.
"If I'm a large stockholder, I'm going to say, 'Hey, let's go ahead and have a special dividend,'" he says. He says ordinary investors shouldn't "buy the stock or not buy the stock because of the special dividend."
The market is rife with examples. The board of Opt-Sciences Corp., which makes special coatings for glass used in cockpits, declared a special dividend of 65 cents per share "to secure for the shareholders the benefits of the soon to be expiring current dividend tax treatment," president and CEO Anderson McCabe said in the announcement. The family of one director, Arthur Kania, controls nearly 66 percent of the company's stock.
Decisions like that are more common at small companies with relatively few shareholders, experts say. But big players sometimes get in on the act.
Oracle yanked into December a dividend of 18 cents per share, to replace the dividends it would have paid over the next three quarters. In the announcement, the company noted that "Oracle's CEO and largest stockholder did not participate in the deliberation or the vote on this matter" - a reference to billionaire CEO Larry Ellison, who owns about 23 percent of the company's stock. Oracle declined to comment.
Higher dividend taxes are likely, but they're not inevitable. Until lawmakers and President Obama have a deal, at least in theory, everything is on the table.
But the debate so far has focused on tax rates for the wealthy, with little noise about dividend rates. That's why so many companies have concluded that dividend rates are likely to rise next year.
By issuing special dividends, companies are making boasts of financial strength, Silverblatt says, and those companies must be able to stand behind them.
"It's a leap of faith to put out a large special dividend," he says, "especially when there's so much uncertainty out there."
Daniel Wagner can be reached at http://www.twitter.com/wagnerreports.
Dec. 10, 2012 /PRNewswire/ -- Coherent, Inc. (NASDAQ: COHR), announced today that the company's Board of Directors has approved a $1.00 per share special cash dividend on its outstanding common stock payable on December 27, 2012 to stockholders of record on December 19, 2012.
"Given the unique uncertainty surrounding future tax rates, we elected to return money to our stockholders by way of a special one-time dividend. This dividend does not compromise either our strategic goals or strong balance sheet and does not impact our previously announced $25 million share repurchase authorization," said John Ambroseo, President and CEO.
Founded in 1966, Coherent, Inc. is a world leader in providing photonics based solutions to the commercial and scientific research markets and part of the Standard & Poor's SmallCap 600 Index and the Russell 2000 Index. For more information about Coherent, visit the company's website at http://www.coherent.com for product and financial updates.
PR Newswire (http://s.tt/1wrq8)
Dec. 7, 2012, 4:01 p.m. EST
The Washington Post Company Accelerates Payment of 2013 Dividends
WASHINGTON, Dec 07, 2012 (BUSINESS WIRE) -- The Board of Directors of The Washington Post Company WPO +1.32% today announced, consistent with its frequent review of the Company's dividend policy, an accelerated cash dividend totaling 9.80 per share of outstanding common stock. This accelerated dividend is intended by the Board to be in lieu of regular quarterly dividends that the Company otherwise would have declared and paid in calendar year 2013. The annual dividend rate per share in 2013 is unchanged from the rate in 2012. The accelerated dividend will be paid to stockholders of record as of the close of business on December 17, 2012, payable on December 27, 2012.
BAGL Einstein Noah Restaurant Group Inc. said Thursday it has recapitalized its existing loan and declared a one-time shareholder dividend of $4 per share, bringing to a close a review of strategic alternatives that had included a possible sale or merger.
The Lakewood, Colo.-based parent to the Einstein Bros Bagels, Noah’s New York Bagels and Manhattan Bagels brands announced in May that it had hired Piper Jaffray as financial advisor to explore various options to maximize value for stockholders.
The recapitalization announced Thursday includes the amendment and restatement of its existing senior credit facility, increasing a term loan from $75 million to $100 and a revolving credit facility from $50 million to $75 million. The maturity date is also extended from December 2015 to December 2017.
Proceeds will be used to fund a one-time dividend to shareholders of $4 per share — or about $68 million in aggregate — as well as the ongoing quarterly dividend, working capital, capital expenditures and other corporate purposes.
Nelson Heumann, chairman of Einstein Noah’s board, said the announcement marked an important milestone for the company. “We are pleased to have been able to recapitalize the business through our existing bank facility on such favorable terms and maintain modest leverage,” he said. “We view this one-time special dividend as a clear demonstration of our commitment to returning capital to shareholders, as well as our confidence in the strong results and momentum of the business.”
NEW YORK--(BUSINESS WIRE)-- William H. Sadlier, Inc. ("Sadlier") (OTCPNK: SADL), a leading publisher of educational materials, announced that its Board of Directors, at a special meeting of the Board on November 29, 2012, declared a special dividend of $1.50 per share of its Common Stock payable on December 20, 2012 to holders of record at the close of business on December 12, 2012.
Oooops, nevermind, wrong symbol.
GRUB!
Dec. 7, 2012 /PRNewswire/ -- Hyster-Yale Materials Handling, Inc. (NYSE: HY) today announced that the Board of Directors declared a one-time special cash dividend of $2.00 per share, and authorized a stock repurchase program for up to a total of $50 million of shares of the Company's Class A Common Stock.
The special dividend reflects the Board's confidence in the financial strength and business prospects of Hyster-Yale and the cash available on the Company's balance sheet, and permits stockholders to take advantage of the current federal tax rate on dividends. The dividends are payable on both the Class A and Class B Common Stock, and will be paid December 27, 2012 to stockholders of record at the close of business on December 17, 2012.
Hyster-Yale's Board of Directors also authorized the repurchase of up to $50 million of the Company's outstanding Class A common stock. "The Board of Directors' approval of the special dividend and stock repurchase program reflects its confidence in the Company," said Alfred M. Rankin, Jr., Chairman, President and Chief Executive Officer of Hyster-Yale. "The Board has determined that a stock repurchase program is an appropriate use of Hyster-Yale's financial resources given the current price for our Class A Common Stock. We have a strong balance sheet and available cash resources that will allow us to implement the stock repurchase program and to pursue the Company's growth opportunities."
PR Newswire (http://s.tt/1weDO)
Dec. 7, 2012 /PRNewswire/ -- Capital Properties, Inc. (OTCQX: CPTP) today announced that on December 3, 2012, the Board of Directors voted, subject to closing the below-described Bank Rhode Island loan, to declare an extraordinary dividend of $2.25 per share payable to shareholders of record on December 17, 2012 with a payment date of December 27, 2012. For shareholders owning more than 100 shares, the dividend will be paid 20% ($.45 per share) in cash and 80% ($1.80 per share) by delivery of Dividend Notes issued by the Company. Shareholders owing less than 100 shares of any class of Company capital stock in their own name (not held by a broker) will receive the dividend in cash unless they elect to receive 80% in Dividend Notes. The Dividend Notes will have a term of ten years, bear interest at the rate of 5% per annum, payable semi-annually on June 15 and December 15, and will be subject to mandatory prepayment from the net cash proceeds derived by the Company from the sale of any of its real property, or the real property of any of its subsidiaries. The Dividend Notes will be unsecured but will be pari passu with the obligations of the Company to other creditors. The Dividend Notes will prohibit the Company from mortgaging any of its Capital Center District real property (other than mortgages with respect to Parcels 3S and 5) and the real property owned by the Company's subsidiaries without the approval of the holders of two-thirds of the outstanding principal amount of the Dividend Notes.
Robert H. Eder, Chairman of the Company, said: "On the recommendation of management, the Board decided to proceed with this extraordinary dividend in light of the tax changes which may take place on January 1, 2013 increasing the dividend rate from its current 15% to potentially 43.4%. Given the Company's consistent cash flow from its real estate operations, the Board of Directors was convinced that it would benefit the shareholders if a portion of its future dividend stream was paid in advance at what is today a favorable tax rate."
PR Newswire (http://s.tt/1wdge)
Dec. 6, 2012 /PRNewswire/ -- Tree.com, Inc. (NASDAQ: TREE), the parent company of wholly owned subsidiary LendingTree, LLC, today announced that its Board of Directors has approved a special cash dividend of $1.00 per share. Additionally, the company expects to meet or exceed the upper end of its most recent guidance, which was $14 million Adjusted Exchanges EBITDA for the full year 2012, and $2.5 million Adjusted EBITDA from continuing operations for the fourth quarter 2012.
(Logo: http://photos.prnewswire.com/prnh/20110518/MM04466LOGO )
Doug Lebda, chairman and CEO of Tree.com, noted, "As we committed to our shareholders, we are examining all the potential uses of our cash, and in addition to our continued share buyback plan, we believe it is appropriate at this time to return capital to our shareholders. Following this dividend, we will still have substantial capital resources to explore prudent acquisition opportunities, operate our business, and continue to repurchase our stock. We will continue to explore all of these avenues, in addition to the possibility of future dividends, and keep our shareholders appropriately informed of our strategy."
Commenting on the increased guidance for the fourth quarter, Lebda continued, "Sales to lenders and our marketing performance have continued to outperform our expectations, countering the typical seasonal trends in the fourth quarter. We are continuing to take market share and gain momentum which bodes well for our 2013 growth plans."
The $1.00 special cash dividend is payable on December 26, 2012 to shareholders of record on December 17, 2012. The total amount of the special dividend paid to shareholders will be approximately $11.5 million based on the current number of shares outstanding and will be paid using cash on hand.
PR Newswire (http://s.tt/1w8zA)
Dec 06, 2012 (BUSINESS WIRE) -- The Marcus Corporation MCS +3.26% today announced that its Board of Directors has declared a special cash dividend of $1.00 per common share and has accelerated the next two regular quarterly cash dividend payments totaling $0.17 per common share. The dividends are payable on December 28, 2012 to shareholders of record on December 17, 2012.
"The special cash dividend reflects our continuing commitment to enhancing shareholder value," said Stephen H. Marcus, chairman of The Marcus Corporation. "Due to potential changes in the tax law in 2013, we have also accelerated the quarterly cash dividends that would typically have been paid in February and May of 2013. We plan on returning to our regular quarterly dividend payment schedule beginning in August 2013."
The Board of Directors also declared a dividend of $0.90909 per Class B common share and accelerated the next two quarterly dividend payments totaling $0.15454 per Class B common share. The dividends on the Class B common stock, which is not publicly traded, will also be paid December 28, 2012 to shareholders of record on December 17, 2012.
The Marcus Corporation had 19,950,930 common and 8,777,714 Class B common shares outstanding as of September 28, 2012.
yup... thanks agian dawn i'm up $156 from 2.30 i only wish i had of thrown more money at them.
December 6, 2012, GEO's Board declared a special dividend of $5.68 per share of common stock, representing approximately $350 million of accumulated earnings and profits, which will be paid on December 31, 2012 to shareholders of record as of December 12, 2012. Each shareholder may elect to receive payment of the special dividend either in cash or in shares of GEO common stock, except that GEO will limit the aggregate amount of cash payable to shareholders (other than cash payable in lieu of fractional shares) to the amount of cash paid pursuant to the lottery described below, plus 20% of the total dividend amount remaining after the lottery. Shareholders who elect to receive cash will be placed in a lottery to receive all cash, with the total cash consideration issued in the lottery capped at approximately $7.35million or 2.1% of the special dividend. Shareholders who do not make an election will be deemed to have chosen the cash option, but will not participate in the lottery. If, following the lottery, total cash elections (including deemed elections) exceed 20% of the remaining dividend amount, each shareholder electing to receive cash will receive stock and a pro rata portion of the available cash. As a result, a shareholder electing to receive all cash will receive at least 20% of the shareholder's portion of the dividend in cash.
http://www.dailyfinance.com/2012/12/06/the-geo-group-authorizes-special-dividend-of-350-m/
BALTIMORE, Dec. 6, 2012 /PRNewswire via COMTEX/ -- T. Rowe Price Group, Inc. (nasdaq-gs:TROW) announced today that its Board of Directors has declared a special cash dividend of $1.00 per share payable December 28, 2012 to stockholders of record as of the close of business on December 17, 2012.
Sirius Radio Plans 5 Cent Special Dividend, Stock Buyback
By Alex Sherman - Dec 6, 2012 7:02 AM PT
Sirius XM Radio Inc. (SIRI), the satellite- radio broadcaster, said it will issue a special dividend of 5 cents a share and repurchase as much as $2 billion in stock.
The special cash payout is payable Dec. 28 to stockholders of record as of Dec. 18, the company said today in a statement.
Sirius joins a growing number of companies paying special dividends or accelerating payments ahead of a potential U.S. tax increase next year. The total amount of the Sirius cash dividend is expected to be about $325 million, according to the New York- based company’s statement.
“The size of the capital return and the mix in favor of buybacks is roughly in line with our expectations, although the timing is slightly in advance of our forecasts,” James Ratcliffe, an analyst at Barclays Plc., said in a note to clients. Ratcliffe, who rates the shares the equivalent of hold, said he expected buybacks to be announced in January 2013.
“The desire to get the dividend in before a rise in dividend tax rates in 2013 drove the earlier announcement,” he said.
MKTX NEW YORK (AP) — Electronic trading platform MarketAxess's board has approved a special dividend of $1.30 per share, a move many companies are taking ahead of potential tax increases in 2013.
If the White House and Republican congressional leaders can't strike a deal on taxes and spending cuts, tax rates on dividend income will rise. That's prompted many companies to review their policies on payouts for shareholders, setting special one-time payments in December or moving up payments originally slated for 2013 to this year.
MarketAxess Holdings Inc. said Wednesday that the special dividend will be paid on Dec. 27 to shareholders of record on Dec. 14. Based on the company's shares outstanding, the total payout will be about $50 million.
The ProAssurance Corporation (NYSE: PRA) Board of Directors has authorized a 2-for-1 stock split. Following the split, shareholders will also receive a special dividend of $2.50 per common share and a regular dividend of $0.25 per common share.
The stock split will be in the form of a 100% stock dividend, payable on December 27, 2012, to shareholders who own our stock as of December 17, 2012. The same record and payment dates will apply to the $2.50 per common share special dividend and the regular dividend, both of which will be paid on total shares held after the stock split. This accelerated payment of the regular quarterly dividend will replace the dividend that would normally be paid in January 2013.
PRNewswire/ -- The Board of Directors of Dick's Sporting Goods, Inc. (NYSE: DKS) has declared a special cash dividend of $2.00 per share on the Company's Common Stock and Class B Common Stock, payable on December 28, 2012, to stockholders of record at the close of business on December 17, 2012. The special dividend payment, which is expected to be funded from the Company's excess cash on hand, is in addition to the previously announced quarterly dividend of $0.125 per share payable on December 28, 2012, to stockholders of record at the close of business on November 30, 2012.
PR Newswire (http://s.tt/1w09C)
PRNewswire/ -- Diamond Hill Investment Group, Inc. (NASDAQ: DHIL) today announced that its board of directors has approved an $8.00 per share special cash dividend to shareholders of record on December 17, 2012 payable December 21, 2012. The company will finalize tax characterization of the dividend in February 2013 and expects a portion will be return of capital.
PR Newswire (http://s.tt/1w09D)
Nothing from my alert feed,the stock is up a lot today.It trades on a low PE
Hey Guitarman...
I'll bet you're sure SORRY about buying that LPHI stock!!!
After I had the audacity to mention it here on 10/22 (@$2.30ish)
it is now looking to hit $3...
just the other day they "announced that it would pay a quarterly dividend of $0.10 per share to be paid on or about December 17, 2012 for shareholders of record as of December 14, 2012"
and Tad Ballantyne bought up 126,300 shares between 9/28 and 11/7
http://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001372361
I guess he must be as stupid as we are, EH???
Too FUNNY!!!
Have you seen anything on STX paying a special dividend? I'm seeing one and can't figure out where it's coming from.
DORM
COLMAR, PA, Dec 05, 2012 (MARKETWIRE via COMTEX) -- Dorman Products, Inc. DORM +0.91% today announced that it will pay a $1.50 per share special cash dividend. The special cash dividend will be payable on December 28, 2012 to shareholders of record at the close of business on December 17, 2012. The aggregate amount of payment to be made in connection with this special dividend will be approximately $55 million based on the current number of shares outstanding.
PIKE The board of directors for Pike Electric Corp. declared a special dividend of $1 a share, payable Dec. 21 to shareholders registered Dec. 14.
Hecla Declares Preferred Dividend
Hecla Mining (NYSE:HL)
Today : Monday 3 December 2012
Hecla Mining Company (NYSE:HL) today announced its Board of Directors has elected to declare the regular quarterly dividend of $0.875 per share on the outstanding Series B Cumulative Convertible Preferred Stock.
The regular quarterly dividend of $0.875 per share, on a total of 157,816 shares outstanding of the Series B Cumulative Convertible Preferred Stock, represents a total amount to be paid of approximately $138,000. The cash dividend is payable January 2, 2013, to shareholders of record on December 14, 2012.
About Hecla Mining Company
Established in 1891, Hecla Mining Company is one of the largest and lowest-cost silver producers in the U.S. The company has two operating mines and exploration properties in four world-class silver mining districts in the U.S. and Mexico.
Cautionary Statements
Statements made which are not historical facts, such as anticipated payments, litigation outcome, production, sales of assets, exploration results and plans, prospects and opportunities including reserves, resources, and mineralization, costs, and prices or sales performance are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995.
http://ih.advfn.com/p.php?pid=nmona&article=55279732&symbol=HL
HCA Holdings, Inc. (NYSE: HCA) today announced that it intends, subject to applicable legal and contractual restrictions, to declare and pay a special cash dividend of $2.00 per share to stockholders and certain optionholders on or prior to December 31, 2012. The dividend is expected to be funded through the net proceeds from the Company’s offering of $1.0 billion aggregate principal amount of senior notes due 2021. HCA’s ratio of debt-to-Adjusted EBITDA at September 30, 2012 was approximately 4.1x compared to 4.5x at December 31, 2011. The Company’s ratio of debt-to-Adjusted EBITDA is estimated to have been approximately 4.5x on September 30, 2012 adjusted for financing transactions completed in the fourth quarter of 2012 and the anticipated impact of the special dividend and incremental financing. There can be no assurance that the special dividend will be declared and paid.
Whole Foods to Pay Special Dividend in December (WFM)
By Shauna O'Brien
November 30th, 2012
whole-foods-to-pay-special-dividend-in-december-wfm
Organic supermarket chain, Whole Foods Market, Inc.(WFM) reported on Friday that they will pay a special dividend next month of $2.
The company reported that it will be paying a special dividend of $2 per share on December 21 to shareholders of record on December 10. The estimated cost of this dividend to the company will be $370 million.
WFM will also pay their regular dividend of 20 cents per share on January 29 to shareholders of record on January 10.
Co-founder and co-chief executive officer John Mackey commented, “today’s announcement of a $2.00 special dividend, payable prior to the end of the calendar year, provides us with another opportunity to return capital to our shareholders.”
If you could post the symbol along with the story, that would be lovely.
KNOXVILLE, Tenn. (AP) — Movie theater owner Regal Entertainment Group said Thursday that its board had declared a special cash dividend of $1 per share, payable on Dec. 27 to stockholders of record as of Dec. 11. Its shares rose in extended trading.
The special dividend will not affect the previously announced dividend of 21 cents per share, payable on Dec. 14 to stockholders of record on Dec. 5.
NAPERVILLE, Ill. (AP) — Tellabs Inc. is joining the list of companies paying a special dividend to reward shareholders before a potential tax hike kicks in next year.
The cash dividend of $1 per share announced Thursday will be paid Dec. 21 to stockholders of record on Dec. 14. That schedule means the dividend will fall under the 15 percent tax rate that has been applied to stock dividends since 2003. That could change beginning next year, unless Congress and President Barack Obama reach a compromise on taxes and government spending.
NORTHBROOK, Ill., Nov. 28, 2012 /PRNewswire/ -- KapStone Paper and Packaging Corporation (NYSE: KS), (the "Company" or "KapStone") announced today that its Board of Directors approved a $2.00 per share special cash dividend. The dividend payout will total approximately $95 million based on the current shares outstanding.
Roger W. Stone, Chairman and Chief Executive Officer of the Company commented, "Given the uncertain tax environment, we believe that it is prudent to return to our shareholders in a tax efficient method a portion of the significant gains that the Company has generated. After the dividends are paid, KapStone's balance sheet will remain very strong with an EBITDA to debt leverage ratio still below two times. In addition, we have amended our senior secured credit agreement to lower our interest pricing grid by 25 bps. With KapStone's low leverage ratio, the $450 million accordion provision in our credit facility, and our even lower borrowing costs, KapStone is very well positioned to continue to pursue growth opportunities."
The special cash dividend will be payable on December 20, 2012 to shareholders of record at the close of business on December 10, 2012. The NYSE has determined that the ex-dividend date will be December 6, 2012. Shareholders who sell their shares on or before the December 6, 2012 ex-dividend date will also be selling their rights to receive the $2.00 per share cash dividend. Shareholders are advised to contact their financial advisor before selling their shares.
PR Newswire (http://s.tt/1v9KN)
Most stupid is filling your house with gold, like that guy in Nevada, and dying. Afterward the real estate agent found something like $6 million in gold bullion and coins in the old guys shabby home.
Did you read that story? Last I heard they wondered how he got the funds since he hadn't worked since he was in his 20s.
Maybe made a killing in hot penny stocks!!!!!!!!! LOL
Gotta run
LOL! Much more stupid is the collection of gold for an apocalypse.
If they don't like the taxes in the US, they're gonna hate them in Australia! Incredibly high.
As far as taking social security, usually better if one spouse does and the other waits. Breakeven age around 72 if I recall correctly.
Good point bat1080. Simplistic thinking doesn't solve anything, and just perpetuates the ignorance. Just look at the spike in the sale of guns, ... "so Obama doesn't take my guns away." They always have to feel like victims, so they can justify an otherwise stupid position.
I see some element of political protest with such divs. Similarly, some people who are taking Social Security early (often poor financial planning) justify that on political grounds. "Obama's Not Getting MY Retirement Money!"
It's like the new bout of states wanting to secede from the union. For as long as I can recall there have always been a few stories about people leaving the U.S. after each election. Of course they always go to Australia, never some third world cesspool.
Interesting viewpoint. What I'm finding (at least with the legit companies) is these companies heavily laden with cash and wanting to get it out to investors (especially the insiders) before Obama claims it as his own.
For instance, COST isn't borrowing money to pay out a dividend.
Agree, it's something to follow down the road. I can even imagine a few troubled firms paying special dividends just to drain cash before problems become evident to creditors. In that case. a red flag for bankruptcy on the horizon.
Sometimes a big div may be a sign the company sees few growth opportunities. Perhaps a sign they're going to wind down operations.
Offhand, I don't see these one shot divs as any big deal one way or the other. My best guess: a very slightly bullish indicator, one factor to be considered among many.
Good article, but may have missed the point....
The "insane dividend" trend is certainly real.... probably driven more by insiders' special interest than by desire to help shareholders in general. The percent of stocks paying these special divs is still very small.
"So far this quarter, about 63 companies with market caps greater than $500 million in the Russell 3000 index have issued special—or one-time—dividend payments. That compares with only 44 for all of 2011."
The problem with the story (IMO) is some companys take loans to pay special dividends with the board members collecting the most,and that has a negative impact on the stock.A company that hords cash like apple could pay a huge dividend and make a comeback in stock price because of earnings.
Only pick dividend payers that make so much that they have quarter to quarter surplus cash flows.
"Do Special Dividends Boost Stock Price?"
http://www.cnbc.com/id/49979295?__source=yahoo|headline|quote|text|&par=yahoo
COSTCO $7
Costco to Pay Investors $3 Billion With Special Dividend
Nov 28, 2012 5:34 AM PT
Costco Wholesale Corp. (COST), the largest U.S. warehouse-club chain, plans to pay a special dividend of about $3 billion as it returns increasing cash to investors.
The $7-a-share payment reflects the company’s “strong balance sheet and favorable access to the credit markets,” Chief Financial Officer Richard Galanti said today as Costco reported a 10 percent increase in first-quarter sales.
Costco joins a growing number of U.S. companies, from Wynn Resorts Ltd. (WYNN) to Tyson Foods Inc. (TSN), which are announcing special dividends at four times the pace of last year ahead of pending tax increases in 2013. The rate on dividends, which was reduced to 15 percent during the George W. Bush administration, is set to go up as President Obama and congress work to draw more revenue from top earners.
Costco, based in Issaquah, Washington, held $3.47 billion of net cash as of September, the most at that point in at least two decades, even after spending about $760 million to acquire the partner in its Mexican joint venture. Galanti said on an analyst call last month that there wasn’t “a great sense of pressure to change our modus operandi” with regard to dividends.
Rewarding Shareholders
“It’s a tangible way of rewarding shareholders that avoids the lottery of a share buyback,” said Bryan Roberts, an analyst at Kantar Retail in London. “They’ve amassed significant cash reserves, partly due to their success. They have been one of the most successful retailers in the past 20 years.”
Costco rose 4.7 percent to $101.05 at 7:25 a.m. in New York. The shares had advanced 16 percent this year through yesterday.
Congress is expected to let the dividend tax rate revert to the ordinary income rate, which tops out at 39.6 percent. From the end of September through today, 71 companies in the Russell 3000 stock index have declared a one-time cash payment to shareholders, up from 15 percent in the year-earlier quarter, according to data compiled by Bloomberg.
Also today, Costco said comparable sales rose 6 percent in the four weeks ended Nov. 25, with growth slowing from 7 percent in the previous month. Excluding the effects of gasoline prices and currency movements, monthly growth was 5 percent, it said, unchanged from October.
The special dividend will be paid on Dec. 18 and is in addition to the regular quarterly cash dividend of 27.5 cents a share that was declared on Oct. 30, Costco said.
LOUISVILLE, Ky., Nov 27, 2012 (BUSINESS WIRE) -- Brown-Forman Corporation's BF.A +2.12% BF.B +1.79% Board of Directors has declared a special cash dividend of $4.00 per share on its Class A and Class B Common Stock that will be paid on December 27, 2012 to stockholders of record on December 12, 2012. This special cash dividend is in addition to the 9.3% increase in the company's regular cash dividend announced by the company on November 15, 2012.
LITTLE ROCK, Ark. (AP) — Department store operator Dillard's Inc. said Monday it will pay a special cash dividend of $5 in December.
The company also declared a quarterly dividend of 5 cents. Both dividends will be payable Dec. 21 to shareholders of record on Dec. 7.
NEW YORK (AP) — Casino operator Las Vegas Sands Corp. said Monday it will pay a special dividend of $2.75, distributing about $2.26 billion to its shareholders by the end of the year.
The company said the dividend will be payable Dec. 18 to shareholders of record on Dec. 10. Chairman Sheldon Adelson said returning capital to shareholders is a priority for the company.
The casino operator is the latest company to move up its quarterly payout or issue a special end-of-year payment to protect investors from potentially having to pay higher taxes on dividend income starting in January.
Many companies are reviewing their dividend policies now that it appears investors could soon pay higher taxes. Since 2003, investors have paid a maximum 15 percent on dividend income. But that historically low rate will expire in January unless Congress and President Barack Obama reach a compromise on taxes and government spending. As it stands, dividends will be taxed as ordinary income in 2013, the same as wages, so rates will go up depending on which income bracket a taxpayer is in. For the highest earners, the dividend rate would jump to 43.4 percent.
Las Vegas Sands runs casinos in Las Vegas, Pennsylvania, Singapore and Macau. The company had 823.4 million shares on the market as of Nov. 1.
Adelson is the majority shareholder in Las Vegas Sands, holding 431.5 million shares, or more than 52 percent of the company, according to FactSet. Based on that total Adelson stands to receive $1.19 billion from the special dividend payment.
Nov. 26, 2012 /PRNewswire via COMTEX/ -- Drew Industries Incorporated DW +2.11% , a leading supplier of components for recreational vehicles (RV) and manufactured homes, today announced that its Board of Directors has approved a special cash dividend of $2.00 per share of common stock.
The dividend is payable on December 20, 2012 to stockholders of record at the close of business on December 10, 2012.
SOUTHFIELD, Mich. — Detrex Corporation (Pink Sheets: DTRX) today announced that it will pay a special dividend of $1.00 per share payable December 17, 2012 to shareholders of record as of the close of business December 7, 2012.
“We believe that our solid financial and operational condition merits a special dividend,” said Detrex President and CEO Tom Mark. “In addition to providing special and quarterly dividends, we are continuing to investigate strategic opportunities to enhance shareholder value.”
About Detrex Corporation
Founded in 1925, Detrex Corporation is a manufacturer of specialty chemical products for the global industrial manufacturing markets through its subsidiary The Elco Corporation. Elco is a leading manufacturer of high performance specialty chemicals including additives for industrial petroleum products
Read more here: http://www.heraldonline.com/2012/11/26/4439586/detrex-corporation-declares-a.html#storylink=cpy
Nov 23, 2012 (BUSINESS WIRE) -- National Beverage Corp. FIZZ +14.74% today announced that its Board of Directors has declared a special cash dividend to shareholders of record at the close of business on December 5, 2012. The Board directed a range of $1.50 to $3.00 per share and will finalize the per share amount no later than November 30, 2012. The payment date will be made to avail shareholders of the current tax treatment in calendar year 2012; and, further, should the Administration extend or modify its position relative to current tax on dividends, the Board may extend the payment date to February 1, 2013.
"Our Board views itself as 'Guardians' of the shareholders and, as such, will continue to explore all remedies to enhance shareholder values. The range of distribution, while protecting the integrity of our balance sheet, are shareholder values that we will not compromise," stated Nick A. Caporella, Chairman and Chief Executive Officer.
"Final services for President Kennedy's - 'What You Can Do For Your Country' were held November 6, 2012. Will traditional 'Golden Standards' also go the way of that challenge? Can the walls of a Fortress Balance Sheet be astute talent or dynamic creative and insure the same Philosophical Security to the investor? Does shareholder equity have a significant effect on a company's ability to create, innovate and make profits? Or . . . should it be the Idea - the generation of Cash Flow and the magnet that attracts genius to the Team . . . that comprise the real granite walls of the Fortress . . . on the Fortress Balance Sheet?" Caporella added.
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I have done extensive research on numerous companies that pay dividends, but i know if everyone here at IHUB posts stocks or mutual funds that pays outrageous dividends, then we can all save tons of time and energy doing it ourselves.
I will post links to all that are worthy here in the IBOX.
thank you in advance to all that participate.
please post the highest % yielding dividend stocks that you can find.
Explanation of Dividend Dates
Ex-dividend: To receive a declared dividend the shares must be purchased before the ex-dividend date. If you buy on or after ex-dividend date you are not entitled to receive the current dividend.
Record date: The record date is the date by which an investor must be registered as a shareholder to be entitled to a dividend.
Payment date: The date of which the dividend is paid out.
You can sell the stock on the ex-dividend date of and still get the dividend but you would not make any money. Every time a dividend is paid, the closing price on the day before the ex-dividend is adjusted downward by the dividend amount.
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(Stock Dividend section)
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,
http://www.nasdaq.com/about/FAQsMarketIntegrity.stm
TAX info
Dividends are taxed either as ordinary income or as qualified dividends. A qualified dividend is a dividend on which the issuing company has already paid tax. The dividend is then taxed again on the shareholder's tax return, but at a lower qualified dividend tax rate. The tax rate on qualified dividends is 5% or 15% (depending on the individual's income tax rate). If the individual has a regular income tax rate of 25% or higher, then the qualified dividend tax rate is 15%. If the individual's income tax rate is less than 25%, then qualified dividends are taxed at the 5% rate.
Ordinary and qualified dividends are reported on Form 1099-DIV. All dividends paid will be reported as ordinary dividends on Form 1099-DIV box 1a. Some or all of these ordinary dividends may be qualified dividends. Qualified dividends are reported on Form 1099-DIV box 1b.
Dividends are reported on Form 1040 Schedule B and Form 1040 lines 9a and 9b
Link to daily dividend news http://www.primenewswire.com/newsroom/keyword.html?kw=DIVIDEND
DIVIDEND RANK:
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Summary / Websight
http://finance.yahoo.com/q?s=fro http://www.frontline.bm/
http://finance.yahoo.com/q?s=nat http://www.nat.bm/
http://finance.yahoo.com/q/pr?s=DOM http://www.dom-dominionblackwarriortrust.com/
http://finance.yahoo.com/q?s=dsx http://www.dianashippinginc.com/web/default.fds
http://finance.yahoo.com/q?s=fgp http://www.ferrellgas.com/
http://finance.yahoo.com/q?s=grt http://www.glimcher.com/
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