Corus declares quarterly dividend of $0.03 Class B shareholders and $0.02875 Class A Shareholders; Adoption of Revised Dividend Payment Schedule
toronto, March 6, 2023 /CNW/ – Corus Entertainment (TSX: CJR.B) (“Corus” or the “Company”) announced today that its Board of Directors has declared a dividend $0.03 Each Class B non-voting participating share (“Class B Share”) and $0.02875 Each Class A Participating Share (“Class A Share”) payable March 31, 2023To shareholders of record at the close of business March 15, 2023. A revised dividend payment schedule has also been adopted.
The above dividends are designated as “qualified” dividends for income tax law (Canada) and any similar provincial legislation.
Corus will adopt the new dividend rate and payment schedule following a board review of the company’s capital allocation policy.
Effective March 31, 2023Corus’ annual dividend rate will drop to $0.12 per class B share and $0.115 per Class A share, in line with the company’s long-term goal of maintaining a dividend yield in excess of 2.5% and current industry peer benchmarks.
The dividend payment schedule will be changed to be closer to the end of each financial quarter. The third quarter FY23 dividend will be March 31, 2023. Thereafter, a revised dividend payment schedule will apply, with expected quarterly payment dates changing to August, November, February and May (commencing in June, September, December and March), and any such Dividend declarations are subject to board approval.
“Our board has always taken a prudent approach to capital allocation, aiming to create conditions for the company to create long-term value,” he said. Heather Shaw, Executive Chairman. “We recognize that a market-competitive dividend is important to our shareholders and remains a key priority for us in response to current macroeconomic factors. While we continue to make strategic investments in our business to drive future growth, we expect this dividend capital The reallocation was directed towards paying down the debt.”
Corus’ Board of Directors reviews the dividend on a quarterly basis. Shareholders will only be entitled to dividends if and when any such dividend is declared by the Corus Board of Directors and have not been entitled to any dividends prior to that date.
The registered shareholder is a resident Canada Persons who are not currently participating in Corus’ Dividend Reinvestment Plan (the “Plan”) may elect to participate in the Plan by completing an Enrollment Form available from the Company’s Plan Administrator, TSX Trust Company, at https://tsxtrust.com/ Or call 1.800.387.0825. The program allows eligible holders of Class A and Class B shares to acquire additional Class B shares by reinvesting cash dividends paid on their respective holdings.Resident non-registered beneficial shareholders Canada Persons wishing to join the program should consult with their broker, financial institution or other intermediary through which they hold Class A or Class B shares.
The Corus Board of Directors confirms that the Company will allocate shares purchased in the open market to plan participants of record at a discount not less than the average market price in accordance with the terms of the plan.
There are 3,371,526 Class A voting shares and 196,068,632 Class B non-voting shares in February 28, 2023. Corus Entertainment Inc. Reported in Canadian dollars.
Caution Regarding Forward-Looking Information
This press release contains forward-looking information and should be read with the following cautionary words:
If any statements in this press release contain information that is not historical, those statements are forward-looking statements and may be forward-looking information within the meaning of applicable securities laws (collectively, “forward-looking information”). This forward-looking information relates, inter alia, to the Company’s goals, objectives, strategies, objectives, intentions, plans, estimates and outlook, including the adoption and expected impact of the Company’s strategic plans, advertising, and expectations for fiscal advertising trends through 2023, Subscriber revenue and expected subscription trends, distribution, production and other revenues, the company’s dividend policy and the payment of future dividends; the company’s leverage objectives; the company’s ability to manage retention and reputational risks related to its on-air talent; expectations for financial performance, including capital Allocation strategies and capital structure management, operating costs and duties, taxes and charges, can often be identified by the use of words such as “believes”, “anticipates”, “expects”, “intends”, “plans”, “will”, “may ” or negative forms of these terms and other similar expressions. In addition, any statements that refer to expectations, forecasts or other characterizations of future events or circumstances may be deemed forward-looking information.
Although Corus believes that the expectations reflected in such forward-looking information are reasonable, such information involves assumptions, risks and uncertainties and undue reliance should not be placed on such statements. Certain material factors or assumptions apply to the forward-looking information, including, but not limited to, factors and assumptions regarding general market conditions and the general outlook for the industry, including: the impact of economic recessionary conditions and continued supply chain constraints; the potential impact of new competition and industry mergers and acquisitions ; changes in applicable tax, licensing and regulatory regimes; inflation and interest rates, advertising, subscription, production and distribution market stability; changes in key suppliers or customers; operating and capital costs and duties, taxes, corporate purchases, The ability to produce or sell desired content and the company’s capital and operating results are in line with expectations. Actual results may differ materially from those expressed or implied in such information.
Important factors that could cause actual results to differ materially from these expectations include: the Company’s ability to attract, retain and manage fluctuations in advertising revenue; the Company’s ability to maintain relationships with key suppliers and customers and to anticipate financial terms and conditions; audience preference for the Company’s television programming; and cable network acceptance; Company’s ability to manage retention and reputational risks associated with its on-air talent; Company’s ability to recover production costs; Availability of tax credits; Availability of expected news, production and related credits, programs and funding; Co-productions the existence of treaties; the Company’s ability to compete in any industry in which it does business, including with competitors who may not be regulated in the same manner or to the same degree; the business and strategic opportunities that may be presented to and pursued by the Company (or lack); the state of the entertainment, information and communications industries and technological developments therein; changes in laws or regulations or the interpretation or application of those laws and regulations, including statements, decisions or positions of applicable regulatory bodies, including but not limited to Canadian Broadcasting Corporation and Telecommunications Commission (“CRTC”), Canada’s Heritage and Innovation, Science and Economic Development Canada (“ISED”); changes in licensing status or conditions; unforeseen or unmitigated programming costs; corporate integration and realization of anticipated benefits of acquisitions and effective ability to manage its growth; the Company’s ability to successfully defend itself against litigation and complaints; failure to honor covenants under the Company’s senior credit facility, senior unsecured notes or other facilities or facilities; epidemics, epidemics or other public health and security crisis Canada Globally, including COVID-19; physical and operational changes to the company’s critical facilities and infrastructure; cybersecurity threats or incidents to the company or its key suppliers and vendors; and changes in accounting standards.
For more information about these factors and the material assumptions on which any forward-looking information is based, please see the heading “Risks and Uncertainties” in the company’s management’s discussion and analysis for the year ended August 31, 2022and under the heading “Risk Factors” in the company’s annual information form for the year ended August 31, 2022. Corus cautions that the foregoing list of important assumptions and factors that could affect future results is not exhaustive. Investors and others should carefully consider the foregoing factors, as well as other uncertainties and potential events, when making decisions about Corus based on the company’s forward-looking information. Unless otherwise stated, all forward-looking information in this document is as of the date of this document and may be updated or revised from time to time. Corus disclaims any intention or obligation to publicly update or revise any forward-looking information, whether as a result of new information, events or circumstances that arise after its date or otherwise, except as otherwise required by applicable securities laws.
About Corus Entertainment Inc.
Corus Entertainment Inc. (TSX: CJR.B) is a leading media and content company that develops and delivers high-quality brands and content across platforms to a global audience. Engaging audiences since 1999, the company’s multimedia portfolio includes 33 professional television services, 39 radio stations, 15 traditional television stations, digital and streaming services, animation software, technology and media services. Corus is an internationally renowned content creator and publisher that includes Nelvana, a specialist in world-class animation studios across all formats, and Corus Studios, a globally recognized producer of popular scripted and unscripted content. The company also owns so.da, a full-service social digital agency, Kin Canada, a lifestyle entertainment company, Toon Boom, a leading provider of 2D animation software, and Kids Can Press, a children’s book publisher. Corus’ premium brands include Global Television, W Network, HGTV Canada, Food Network Canada, Magnolia Network Canada, HISTORY® Channel, Showcase, Adult Swim, National Geographic, Disney Channel Canada, YTV, Global News, global news network, Q107, Country 105 and CFOX, as well as streaming platforms STACKTV, TELETOON+, Global TV App and Curiouscast. Corus is the domestic advertising representative and original content partner for Paramount’s Pluto TV, the leading free ad-supported streaming television (FAST) service.For more information, please visit www.corusent.com.
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SOURCE Corus Entertainment Inc.
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