Summary
Dominion Resources, Inc. (D) announced significant corporate actions on October 26, 2007, impacting its shareholders. The company's Board of Directors approved a two-for-one stock split, doubling the number of outstanding shares. This move is accompanied by an increase in authorized common stock to 1,000,000,000 shares, effective November 9, 2007. Additionally, the quarterly dividend rate was raised by 11% to $0.79 per share pre-split. Following the stock split, shareholders of record on November 30, 2007, will receive a dividend of $0.395 per share, establishing an annualized rate of $1.58 per share on a post-split basis. Furthermore, the Board awarded a $2 million cash bonus to CEO Thomas F. Farrell, II, recognizing his leadership in successfully divesting the company's exploration and production operations in September 2007. This divestiture was completed within the established timeframe despite challenging market conditions. These announcements signal strategic moves by Dominion to restructure its operations and reward executive performance.
Key Highlights
- 1Dominion Resources, Inc. approved a two-for-one stock split for its common stock, effective November 9, 2007.
- 2The company is increasing its authorized shares of common stock from 500,000,000 to 1,000,000,000.
- 3A quarterly dividend increase of 11% was approved, raising the rate to $0.79 per share (pre-split).
- 4Post-stock split, the quarterly dividend for shareholders of record on November 30, 2007, will be $0.395 per share, equating to an annual rate of $1.58 per share.
- 5CEO Thomas F. Farrell, II, received a $2 million cash bonus for his leadership in the successful sale of the company's E&P operations.
- 6The sale of exploration and production (E&P) operations was completed in September 2007 despite deteriorating market conditions.