Shareholders of Class A and B common stock in the Nexstar television group may find a little extra cash in their bank accounts – however, it will be keyed to the closing of the group’s acquisition of stations from Newport Television and other factors.
The board of directors has authorized declaration of a $0.48 annual dividend per share, paid in equal $0.12 quarterly increments.
The dividend is being offered in conjunction with the closing on the Newport properties, expected in December 2012, and the financing that went along with the acquisition. The first payment is expected to be distributed at some point during the first quarter of 2013.
However, whether or not it will be paid will be at the discretion of the Board, and the policy may be abandoned for a number of reasons.
Nexstar stated, “Dividend determinations (including the record date and date of payment) will depend upon, among other things, our future operations and earnings, capital requirements and surplus, general financial condition, contractual restrictions and other factors as the board of directors may deem relevant.”
So if Nexstar shareholders get the dividend, they can rest assured that things are going well with the company.