8-KOther EventsExhibits & Filings

AFLAC INC 8-K Report, Corporate Update (Feb 13, 2018)

Filed February 13, 2018For Securities:AFL

Summary

Aflac Incorporated announced a significant corporate action on February 13, 2018: its Board of Directors approved a two-for-one stock split, effectively a 100% stock dividend. This move is designed to increase the number of outstanding shares from approximately 389.5 million to about 779.0 million. The stock dividend is payable on March 16, 2018, to shareholders of record as of March 2, 2018. From an investor's perspective, while a stock split does not alter the fundamental value of the company, it can often be perceived positively. A lower per-share price can make the stock more accessible to a wider range of investors, potentially increasing liquidity and trading volume. It may also signal management's confidence in the company's future performance and its ability to maintain or grow its earnings on a per-share basis despite the increased share count.

Key Highlights

  • 1Aflac Incorporated declared a two-for-one stock split effective as a 100% stock dividend.
  • 2The stock split is scheduled to occur on March 16, 2018.
  • 3Shareholders of record on March 2, 2018, will be eligible for the stock dividend.
  • 4The number of outstanding common shares is expected to double from approximately 389.5 million to 779.0 million.
  • 5This action is intended to increase the accessibility of Aflac's stock to a broader investor base.
  • 6The company issued a press release on February 13, 2018, to announce this decision.

Frequently Asked Questions

Aflac is implementing a two-for-one stock split in the form of a 100% stock dividend. This means for every share of Aflac common stock you own, you will receive an additional share. Consequently, the number of shares you hold will double, and the price per share will be approximately halved. The total value of your investment will remain the same immediately after the split.

The stock dividend, which effects the two-for-one stock split, is payable on March 16, 2018. Shareholders who are on record as of the close of business on March 2, 2018, will receive the additional shares.

A stock split, in itself, does not change the underlying value of the company or your total investment. However, a lower share price can sometimes lead to increased trading volume and liquidity, and may be viewed as a positive signal by the market, potentially influencing future stock performance.

No, you do not need to take any action. If you own Aflac common stock and are a shareholder of record on March 2, 2018, the additional shares will be automatically credited to your brokerage account or sent to you.