scrip dividend


Also found in: Dictionary, Thesaurus, Medical, Legal, Encyclopedia.

Scrip Dividend

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 dividend

An unusual type of dividend involving the distribution of promissory notes that call for some type of payment at a future date. Scrip dividends generally signal that a firm is short of cash. Compare liability dividend.
References in periodicals archive ?
Table 5 reports the results from several multivariate logit regressions in which the dependent variable is one for scrip dividend firms and zero for the control firms.
At last year's AGM, shareholders requested that the board should consider another scrip dividend, which we have now granted.
The company increased Advance Corporation Tax efficiency to the value of some 22 million pounds as a result of the enhanced scrip dividend alternative to the 1998 final cash dividend offered to shareholders during the period.
The low effective tax rate reflects the tax allowances available as a result of the Group's substantial capital expenditure and backlog programs and the impact of the ACT savings from last year's scrip dividend and the deferral of the interim dividend.
TBC PLC shareholders also passed a resolution at the AGM that authorised TBC PLC's board of directors to offer a scrip dividend alternative in respect of the Final Dividend (the "Scrip Dividend Scheme").
The dividend is payable in cash in United States dollars, sterling or Hong Kong dollars, or a combination of these three currencies, with a scrip dividend alternative.
The company approved a final cash dividend of 18p and an Enhanced Scrip Dividend Alternative to the final cash dividend, of 19.
Reference is made to the previous announcement by Statoil ASA regarding the resolution of the annual general meeting on 11 May 2017 to approve to continue the two- year scrip dividend programme through third quarter 2017 (the "Scrip Dividend Programme") and to distribute a dividend of USD 0.
Shareholders who elected to receive the scrip dividend alternative have been allotted 78,809,402 ordinary shares of USD0.
Under the two-year scrip dividend programme ("Scrip Dividend Programme") approved by the Annual General meeting 11 May 2016, shareholders will have the option to receive dividend in newly issued dividend shares.
RDS gives eligible shareholders a choice to receive dividends in cash or in shares via a scrip dividend programme.
We continue with the scrip dividend programme and have reduced the net debt ratio, says Stre.