Dividend Policy & DRIP
Following the successful conversion from income trust to corporation in July 2011, Canexus is maintaining a distribution in the form of a quarterly dividend.
The quarterly dividend is subject to board approval by the Board of Directors. It builds on 70 months of successfully maintaining a monthly distribution as an income trust.
We believe in generating solid returns for investors in the form of both dividends and growth. While we are committed to paying a dividend, the debt levels and liquidity, future operating cash flow projections and capital requirements of the company must be considered in determining the dividend.
Dividend Reinvestment Plan (DRIP)
Our DRIP, amended for conversion, allows eligible holders of Canexus shares to reinvest their cash dividends in additional shares issued from treasury at a 5% discount to the Average Market Price (as defined in the Amended DRIP) on the applicable dividend payment date.
New shareholders wishing to participate in the Amended DRIP will be required to make elections on a quarterly basis.
Canexus reserves the right to limit the amount of new equity available under the Amended DRIP on any particular dividend payment date. Accordingly, participation may be prorated in certain circumstances. In the event of proration, the participating holder will receive the declared dividend in cash for any portion of the dividend that cannot be reinvested under the Amended DRIP.
No commissions, service charges or brokerage fees are charged by Canexus for shares purchased under the Amended DRIP. If your Canexus shares are held through a broker or other nominee, please check with them to see if any commissions, service charges or other fees are payable.
Read our Amended DRIP (pdf, 223 kB)