noncumulative


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Noncumulative

Applies mainly to convertible securities. Type of preferred stock on which unpaid or Omitted dividends do not accrue. Omitted dividends are, as a rule, gone forever.

Noncumulative Preferred Stock

Preferred stock for which the publicly-traded company does not need to pay all dividends. If a company misses a dividend payment for any reason, it no longer owes the dividend to noncumulative preferred stockholders. That is, all dividends that were "skipped" are treated as if they never existed. Noncumulative preferred stocks are rare because they are unattractive to preferred stock investors.

noncumulative

Of or relating to a relatively unusual kind of preferred stock on which missed dividends do not have to be made up. Compare cumulative.
References in periodicals archive ?
350% Fixed Rate/Floating Rate Noncumulative Preferred Stock, Series D, payable November 15, 2017, to holders of record on November 5, 2017.
356250 per depository share) on its series-F noncumulative perpetual preferred stock (NYSE: FRCPrF); a quarterly cash dividend of USD13.
90% Fixed Rate/Floating Rate Noncumulative Preferred Stock, Series B, payable February 15, 2018, to holders of record on February 2, 2018.
875% Noncumulative Preferred Stock, Series L, payable February 12, 2018, to holders of record on February 2, 2018.
14843750 per share on its series A noncumulative perpetual monthly income preferred stock, which will be payable on June 30, 2017 to shareholders of record as on June 28, 2017.
350% Fixed Rate/Floating Rate Noncumulative Preferred Stock, Series D, payable May 15, 2017, to holders of record on May 5, 2017.
In Letter Ruling 9451051,(106) a taxpayer proposed to exchange promissory notes of a corporation for noncumulative convertible preferred stock.
800% Noncumulative Preferred Stock, Series C, payable October 24, 2016, to holders of record on October 13, 2016.
418750 per depositary share) on its noncumulative perpetual series-A preferred stock (FRCPrA); USD15.
The preferred stock had a liquidation right of $790 per share and a noncumulative annual dividend right of $3.
950 percent fixed rate/floating rate noncumulative preferred stock, Series A, payable August 1, 2016, to holders of record on July 20, 2016 and a dividend of USD29.
800% Noncumulative Preferred Stock, Series C, payable April 22, 2016, to holders of record on April 11, 2016.