FREEPORT-McMoRan INC. ANNOUNCES ALL 1994 CASH DIVIDENDS AND PROPERTY DIVIDENDS ON ITS COMMON AND PREFERRED STOCK ARE NONTAXABLE RETURN OF CAPITAL.NEW ORLEANS--(BUSINESS WIRE)--Jan. 13, 1995--Freeport-McMoRan Inc. (NYSE NYSE See: New York Stock Exchange :FTX (Fault Tolerant UNIX) Stratus Computer's version of Unix System V for its XA/R fault tolerant computer systems. See also FTTx. (operating system) FTX - Stratus' Unix operating system. ) today announced that it anticipates all dividends paid in 1994 on its common and preferred stock Stock shares that have preferential rights to dividends or to amounts distributable on liquidation, or to both, ahead of common shareholders. Preferred stock is given preference over common stock. Holders of preferred stock receive dividends at a fixed annual rate. will not be taxable as dividend income for federal income tax purposes but instead will be considered a nontaxable return of capital. These dividends consist of cash dividends and property dividends which include distributions of Freeport-McMoRan Copper & Gold Inc. (NYSE:FCX FCX French Connexion (gaming site) FCX Freeport-McMoran Copper & Gold Inc (stock symbol) FCX Fuel Cell Experiment (Honda) FCX Fire Coordination Exercise FCX Fire Control Exercise ) shares and McMoRan Oil & Gas Co. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :MOXY) shares to FTX's common shareholders. Based on preliminary tax calculations, FTX has determined that it had no accumulated or 1994 "earnings or profits" for federal income tax purposes. FTX's determination of the earnings and profits for 1994 and prior years will be filed with the Internal Revenue Service ("IRS An abbreviation for the Internal Revenue Service, a federal agency charged with the responsibility of administering and enforcing internal revenue laws. "). Stockholders will be advised if there is any material change to the status of 1994 dividends as a result of the IRS review or audits. The cash and property dividend distributions that are not taxable as dividend income must be applied to reduce tax basis of the shares on which the dividends are paid. If the nontaxable dividends exceed the holder's basis of the FTX stock, a capital gain will result. Stockholders should secure their own advice regarding the status of dividend distributions under applicable federal, state, and local tax laws. FTX is a leader in the exploration, mining, development, production, processing, and marketing of natural resources. FTX's products include copper, gold, silver, phosphate fertilizers, phosphate rock, sulphur, oil, and other natural resources. CONTACT: Freeport-McMoRan Inc., New Orleans Craig E. Saporito, 504/582-4476 |
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