FULL TEXT-TD Bank ups payout, splits stock
May 27, 1999 12:07 PM
(Full text of press release from Canada NewsWire)
TD Bank announces stock dividend and cash dividend increase
TORONTO, May 27 /CNW/ - The Directors of TD Bank today announced an increase in the quarterly common share dividend from $0.34 to $0.38. This increase will bring the indicated annual common share dividend rate to $1.52 per common share.
The Directors also declared a stock dividend of one common share on each of the issued and outstanding common shares of the Bank. The effect of this one-for-one stock dividend is the same as a two-for-one split of the common shares.
The cash dividend is effective prior to the stock dividend.
TD's Directors view these initiatives as a reflection of their confidence in the Bank's strategy and progress,'' said A. Charles Baillie, Chairman and Chief Executive Officer. We expect these actions will be beneficial to our shareholders and for the Bank itself. We also expect this will help ensure that the Bank's stock is more accessible to retail investors.''
There are no unfavourable Canadian or U.S. tax consequences and shareholders' equity will not be diluted in any way by the stock dividend. The aggregate cash dividend payable to a shareholder will not be affected.
The increased quarterly dividend and the stock dividend will be payable on and after July 31, 1999 to shareholders of record at the close of business on July 8, 1999. New shares may be traded on a when issued'' basis on North American stock exchanges from July 6, 1999 until the stock dividend payment date and thereafter on a regular settlement basis. Existing shares will continue to trade on a regular settlement basis but commencing July 6, 1999, they will trade without this quarter's cash dividend and their price will reflect the stock dividend.
/For further information: please contact: Peter Aust, Vice President, Capital Finance, (416) 982-8056/
REUTERS
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