Summary
Oracle Corporation announced on December 3, 2012, that its Board of Directors has declared an accelerated cash dividend of $0.18 per share. This dividend is set to be paid on December 21, 2012, to shareholders of record as of December 14, 2012. The company also indicated that this accelerated dividend is intended to replace the quarterly dividends that would have normally been announced with its fiscal year 2013 second, third, and fourth quarter earnings results, and would have been paid in calendar year 2013. Investors should note this change in dividend payment schedule and its implications for future income distribution from Oracle.
Key Highlights
- 1Oracle declared an accelerated cash dividend of $0.18 per share.
- 2The dividend payment date is December 21, 2012.
- 3Record date for the dividend is December 14, 2012.
- 4This accelerated dividend is intended to be in lieu of quarterly dividends for Q2, Q3, and Q4 of fiscal year 2013.
- 5The dividends replaced by this accelerated payment would have been paid in calendar year 2013.
- 6The announcement was made via a press release dated December 3, 2012.
- 7Safra Catz, President and Chief Financial Officer, signed the 8-K report.
Frequently Asked Questions
This announcement signifies a change in Oracle's dividend payment strategy. The $0.18 per share accelerated dividend is intended to consolidate and accelerate upcoming quarterly dividend payments, meaning shareholders will receive a payment sooner than if they had waited for the regular quarterly distributions in calendar year 2013.
The filing states this accelerated dividend is 'in lieu of' future quarterly dividends. It does not explicitly state whether the total amount of dividends for FY2013 will increase or decrease, only that the timing of payment is being altered.
The dividend will be paid on December 21, 2012, to shareholders who are on record as of the close of business on December 14, 2012.
An accelerated cash dividend means the company is paying out a dividend sooner than it might have otherwise. In this case, Oracle is consolidating several planned quarterly dividends into a single, earlier payment to its shareholders.