8-KOther Events

COGNIZANT TECHNOLOGY SOLUTIONS CORP 8-K Report (Apr 13, 2004)

Filed April 13, 2004For Securities:CTSH

Summary

Cognizant Technology Solutions Corporation (CTSH) announced on April 12, 2004, that its Board of Directors has approved a two-for-one stock split effected as a stock dividend. This action is contingent upon stockholder approval to increase the company's authorized capital stock, which will be sought at the upcoming Annual Meeting of Stockholders on May 26, 2004. If approved, shareholders of record on May 27, 2004, will receive one additional share of Class A Common Stock for every share they hold. The distribution is expected around June 17, 2004, with trading on a split-adjusted basis commencing the following business day. This move aims to make the stock more accessible to a broader range of investors.

Key Highlights

  • 1Cognizant Technology Solutions Corporation (CTSH) announced a proposed two-for-one stock split.
  • 2The stock split will be structured as a stock dividend.
  • 3The proposal requires stockholder approval to increase the company's authorized capital stock.
  • 4The Annual Meeting of Stockholders, where the vote will occur, is scheduled for May 26, 2004.
  • 5Shareholders of record on May 27, 2004, are eligible for the stock dividend.
  • 6The distribution of the additional shares is anticipated around June 17, 2004.
  • 7Trading on a post-split basis is expected to begin the business day after the dividend distribution.

Frequently Asked Questions

The main event is the announcement of Cognizant Technology Solutions Corporation's Board of Directors' approval of a two-for-one stock split, structured as a stock dividend, subject to stockholder approval.

The stock split is subject to stockholder approval on May 26, 2004. If approved, shareholders of record on May 27, 2004, will receive their additional shares on or about June 17, 2004, with trading on a split-adjusted basis expected to begin the following business day.

Stockholders need to approve an increase in the company's authorized capital stock at the Annual Meeting of Stockholders on May 26, 2004, for the stock split to proceed.

If approved and you are a shareholder of record on May 27, 2004, you will receive one additional share for every share you currently own, effectively doubling your share count at half the price per share (pre-split basis).