pro rata

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Pro rata

Shared or divided according to a ratio or in proportion to participation.

Pro Rata

Describing a distribution according to some proportion. For example, a salary may be stated as $120,000 per year pro rata. This means that if an employee only works for six months, his/her salary will be $60,000. Likewise, dividends are distributed pro rata, meaning that shareholders receive them according to the proportion of shares that they own.

pro rata

Used to refer to something on a proportional basis. For example, in a rights offering, rights are distributed to stockholders on the basis of the number of shares already held by each stockholder. Thus, the pro rata distribution enables the stockholders to purchase new shares in proportion to the old shares they already own.

pro rata

Proportionate to one's interests or claims.In bankruptcy,unsecured creditors will receive their pro rata portion of any money left after paying secured creditors, attorneys'fees, and costs of administration. If the unsecured claims total $1,000,000, and the money left for distribution is $10,000, then each creditor will receive 1 cent for each dollar of their claim.

References in periodicals archive ?
The new shares offered will rank pari-passu with all other ordinary shares of the bank following the issue except for any cash dividends relating to this fiscal year, which will be paid on these shares on a pro-rate basis relating to the time period from the final allotment date to December 31.
Russia's second leading airline, Transaero Airlines, has entered Interline Agreement and Special Pro-Rate Agreement (SPA) with US airline Virgin America.
2m due to operating 12 fewer E190 aircraft under pro-rate operations with Frontier Airlines.