dividends in arrears

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 a result of the continuing improvement of the Company's financial condition, the Board of Directors of Goodrich Petroleum Corporation (NYSE: GDP) has authorized payment of all dividends in arrears and declared a regular quarterly cash dividend to be paid on its Series A and Series B Convertible Preferred Stock.
COEUR D'ALENE, Idaho -- On December 1, 2009, Hecla Mining Company (HL:NYSE) announced that its Board of Directors had elected to declare and pay all dividends in arrears and the next scheduled quarterly dividend for each of its outstanding series of preferred stock.
As announced on September 18, 1997, the Company's schedule to pay dividends in arrears was continued with the consent of Gulf's Board of Directors.
COEUR D'ALENE, Idaho -- (HL:NYSE) Hecla Mining Company today announced that its Board of Directors has elected to declare and pay all dividends in arrears and the next scheduled quarterly dividend for each of its outstanding series of preferred stock.
The company's schedule to pay dividends in arrears has been continued by the declared consent of Gulf's board.
The decision by the Board to declare and set apart for payment the dividends in arrears eliminated the two preferred director positions.
Also, Hecla announced that its Board of Directors has opted to pay the outstanding Series B Cumulative Convertible Preferred Stock dividends in arrears, amounting to a total of approximately $2.
After taking into account $224,000 of undeclared preferred stock dividends in arrears, a loss of $398,000 was attributable to the common shareholders for the nine month period ended December 31, 1993.
After taking into account $150,000 of undeclared preferred stock dividends in arrears, a loss of $289,000 was attributable to the common shareholders for the six month period ended Oct.