dividends in arrears

(redirected from Accumulated Dividends)

Dividends in Arrears

Dividends on preferred stock that are past due. Because preferred stock has guaranteed dividends, a company is legally required to pay the dividends before it makes any dividend payments at all on common stock. Dividends in arrears go to the current owners of preferred stock when they are paid; the person who owned it when the dividends originally should have been paid receives nothing. They are also called accumulated dividends.

dividends in arrears

Dividend payments on cumulative preferred stock that have been passed by a firm's directors. These dividends must be brought up to date before any payments are made to common stockholders. Any payments of dividends in arrears go to the current holders of the preferred stock regardless of who held the stock when the dividend was passed. Also called accumulated dividend.
References in periodicals archive ?
As part of the transaction, the company also repaid associated accumulated dividends and interest.
The unpaid accumulated dividends for 2012 (TNK-BP Limited used to pay AAR and BP quarterly dividends, but payments were suspended during the shareholder conflict) will apparently not be paid to the current shareholders (AAR and BP), but will go to Rosneft after completion of the deal.
The proposal, if realized, will boost the stake owned by the government in Mega to over 30%, up from 20% now, and transfer the accumulated dividends of those shareholders in a special account to national coffers.
Every pounds 1,000 invested in the stock market at the start of 1985 has since grown to pounds 8,500, including the accumulated dividends.
Generally, a DRH's payment to an RFIH is recharacterized as a dividend to the extent it does not exceed the aggregate of current or accumulated dividends that a domestic entity paid to the DRH and were included in the RFIH's income under foreign law (i.
6] A share in a stock basket represents a unit of a trust and accumulated dividends are paid quarterly.
Variable life eliminates these drawbacks by having accumulated dividends and capital gains paid to the beneficiary as a nontaxable death benefit.
No payment or adjustment for accumulated dividends will be made upon conversion.
After accumulated dividends and discount accretion on preferred stock, the income available to common stockholders was USD457,000, or USD0.
pref holders would effectively lose their aaccrual right' for accumulated dividends before actual accrual even begins.
Even allowing for accumulated dividends, the average punter in shares lost pounds 124, taking each pounds 1,000 stake down to pounds 876.
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