Scrip


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Scrip

A temporary document that represents a portion of a share of stock, often issued after a stock split or spin-off.

Scrip

1. A private sector substitute for currency. Historically, scrip was used in logging and mining communities dominated by a single company, and employees had to buy goods from the company store. Presently, it is more closely associated with gift certificates, gift cards, and re-loadable debit cards. Militaries also occasionally pay soldiers in scrip when they are on deployment. In Australia, buyout offers including stock in place of or in addition to cash are known as scrip bids. See also: Money.

2. An IOU from a publicly-traded company that is short on cash. Such a company pays dividends in scrip until it resolves its liquidity problems.

scrip

A certificate that can be exchanged for a fractional share of stock. Scrip is distributed as the result of a spinoff, a stock dividend, or a stock split in which the stockholder would be entitled to a fractional share of stock. For example, the owner of a single share would receive scrip for one-half a share in the event the issuer declared a three-for-two stock split.

Scrip.

Scrip is a certificate or receipt that represents something of value but has no intrinsic value. What's essential is that the issuer and the recipient must agree on the value that the scrip represents.

For example, in the past, after a corporate stock split or spin-off, a company might issue scrip representing a fractional share of stock for each share you owned. On or before a specific date, you could combine the certificates and convert the value they represented into full shares.

But most companies today make a cash payment for fractional shares based on the closing price of the stock on a specific date.

References in periodicals archive ?
1 SCRIP magazine issue dated Sep 23, 2011 * 2 SCRIP magazine issue dated Sep 16, 2011
In addition, Scrip Asia 100 showcases a collection of articles on the increasingly vibrant innovative R&D being conducted around the region, with pharma companies often employing regional heads based in Asia to oversee and understand the local markets.
Under the Focus Product Scheme, there is a provision that to promote investment in upgradation of technology of specified sectors, additional Duty Credit Scrips shall be given to Status Holders at one percent of the FOB value of past exports.
Scrip has proven to be successful in other parts of the country.
In order to understand the debate over Metis scrip and whether it is included in the outstanding obligations transferred to the prairie provinces through the NRTAs, it is necessary to first examine what scrip is and its legislative history in north-western Canada.
But even though Chief Papaschase and the others accepted scrip to feed themselves and supposedly extinguished their claims to treaty status, many of their descendents still looked, felt, and identified themselves as Cree Indians, had many close relatives on reserves close by who didn't appear to be any more Indian than themselves, and tried to put the band back together.
The group said they are dissatisfied with the Japanese Supreme Court's dismissal of their appeal last month demanding compensation from the Japanese government for forcibly converting their local currency into military scrip in 1943 following Japan's occupation of the territory in December 1941.
The Sweeneys pointed out that because the founders of the co-op economy imposed price controls, decreeing that one unit of scrip must always exchange for a half-hour of baby-sitting services, there would be shortages when demand was too high and surpluses when it was too low.
Recently, an increasing number of companies in the United Kingdom have given their shareholders the option to receive shares, called scrip dividends, in lieu of cash.
Pharmaceutical Product Development, LLC (PPD) today announced it has been recognized by Scrip Intelligence with its 2012 award for Best Technological Development in Clinical Trials for deploying cutting-edge solutions advancing clinical research.
The Scrip Shares will rank pari passu with the existing ordinary shares of 50 pence each in the capital of the Company.