Thereafter, the board of directors of ICRI declared a property dividend
with respect to all of the stock of the Subsidiary, distributable to shareholders of record on January 19, 2007.
Generally, when a corporation carves out royalty interests in productive natural resources to create a royalty trust, it either distributes the mast units to its shareholders as a property dividend
or sells them to (existing and new) investors.
As a result, corporations must recognize gain when they distribute appreciated assets to stockholders, regardless of whether they structure the transaction as a property dividend
or as a stock redemption.
A property dividend
is a nonreciprocal nonmonetary transfer to owners.
OTC Pink Sheets: AVCP), announced today its intention to issue a property dividend
of 501,000 shares of its common stock of Global IT Holdings, Inc.
A property dividend
would not be taxable to either the corporation or the shareholders if there is adequate AAA available and the property's FMV does not exceed the corporation's basis in the property.
The new corporation's capital stock then is distributed to the shareholders of the old corporation as a property dividend
This special dividend is considered a property dividend
rather than a stock dividend.
Celerity set the record date for the property dividend
for October 20, 2004.
Pegasus Wireless Corporation (Nasdaq:PGWC), a leading provider of advanced wireless solutions, issued today an update to brokerage firms as well as shareholders who are eligible to receive the property dividend
that was announced on August 4, 2006.
BULLETIN BOARD: MOBL) said today the record date for the earlier announced property dividend
of 3,073,113 shares of common stock of Solution Technology International, Inc.
Pegasus Wireless Corporation (Nasdaq:PGWC), a leading provider of advanced wireless solutions, issued today a notice to shareholders who are eligible to receive the previously announced property dividend