Spectrum Brands Holdings, Inc. (NYSE: SPB), a diversified and global consumer products company with market-leading brands, announced that its one-time, special distribution of $1.00 per share will be paid today to shareholders of record as of August 27, 2012 and that the special distribution will be a return of capital.
Shareholders receiving the special dividend are invited to visit the dividends page of the investor relations section of the Company’s website at www.spectrumbrands.com or click on http://phx.corporate-ir.net/phoenix.zhtml?c=75225&p=irol-dividends for more information about the dividend tax treatment and the Company’s new common stock dividend program.
In addition to announcing the one-time, special distribution on August 7, 2012, Spectrum Brands also said its Board of Directors approved plans to initiate a regular quarterly common stock distribution starting in fiscal 2013 of $0.25 per share. Beginning in fiscal 2013, the Company anticipates paying a quarterly distribution in March, June, September and December of each year. The Company currently believes its regular quarterly dividend payments in fiscal 2013 also will qualify as a return of capital to shareholders.
"We’re pleased to begin our dividend program with this special, one-time dividend followed by regular, quarterly dividend payments in our upcoming fiscal 2013 year,” said Dave Lumley, Chief Executive Officer of Spectrum Brands Holdings. “The initiation of a dividend is in recognition of our Company’s strong, consistent and ongoing ability to generate free cash flow. It also reinforces our commitment to deliver attractive returns to our shareholders.“The payment of a one-time, special dividend is in recognition of our strong results in 2012 and meant to allow shareholders to receive a dividend in 2012 that is equivalent on an annualized basis to our planned quarterly dividend in 2013,” Mr. Lumley said. “We do not anticipate, and investors should not expect, payment of a special dividend in future years.”