Chuo Mitsui Trust to skip interim dividends.TOKYO, Sept. 20 Kyodo Chuo Mitsui Trust & Banking Co. said Thursday it will skip interim dividend payments for the fiscal first half to Sept. 30 due to the implementation of international mark-to-market accounting rules and continued weakness of Tokyo stock prices. The Tokyo-based major trust bank will, however, pay annual dividends for the full year through next March. It said it will pay 5 yen per share of common stock at year-end, abandoning its earlier plan to pay an interim dividend of 2.5 yen and an equal amount for the year-end dividend Year-end dividend A special dividend declared at the end of a fiscal year that usually represents distribution of higher-than-expected company profits. year-end dividend See final dividend. . Japanese banks are to adopt mark-to-market accounting rules from their interim book closing Sept. 30. Under the new rules, they are required to deduct de·duct v. de·duct·ed, de·duct·ing, de·ducts v.tr. 1. To take away (a quantity) from another; subtract. 2. To derive by deduction; deduce. v.intr. 60% of unrealized losses Unrealized Loss A loss that results from holding onto an asset rather than cashing it in and officially taking the loss. Notes: Let's say you own a stock that is down 50%, but you haven't sold it to realize the loss yet. This is said to be an unrealized loss. on their shareholdings from their core capital -- thereby cutting into capital resources to pay out dividends. If the key 225-issue Nikkei Stock Average Nikkei stock average Applies mainly to international equities. Price-weighted average of 225 stocks of the first section of the Tokyo Stock Exchange started on May 16, 1949. Japanese equivalent of the US Dow. ends September at the current level of lower than 10,000, most banks will face losses in their shareholdings, making it almost certain they will see their core capital eroded e·rode v. e·rod·ed, e·rod·ing, e·rodes v.tr. 1. To wear (something) away by or as if by abrasion: Waves eroded the shore. 2. To eat into; corrode. at their interim book closing. |
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