optional dividend

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Optional dividend

A dividends that the shareholder can elect to receive either in cash or in stock.

Optional Dividend

A dividend where the shareholder may choose how to receive it. Generally speaking, the shareholder may choose between receiving the dividend in cash or in stock. See also: PIK.

optional dividend

A dividend in which the shareholder may choose among two or more forms of payment. For example, a firm's directors may give the shareholders a choice between cash or an equal dollar amount of stock.
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9 billion, due especially to higher equity investment prices in insurance operations, retained profit for the first nine months of 1996, higher exchange rates, and the exercise of optional dividends and warrants.
Based on current perceptions and first-nine-months results, the Executive Board expects that profit per share for 1996 will show a marked increase over 1995, despite the increase of share capital due to the exercise of optional dividends and warrants.