Stock Name: OTT.UN
Amount: CAD 0.1763
Announcement Date: 27/02/2012
Record Date: 13/03/2012
Dividend Detail:
ONEONTA, AL, Feb. 27, 2012 /CNW/ - Otelco Inc. (NASDAQ: OTT) (TSX:
OTT.un), a wireline telecommunication services provider in Alabama,
Maine, Massachusetts, Missouri, NewHampshire, Vermont and West
Virginia, today announced that its Board of Directors has declared a
distribution of $0.42 per Income Deposit Security (each an "IDS"),
which will be made on March 30, 2012, to holders of record at the close
of business on March 15, 2012. The distribution represents the
twenty-ninth consecutive quarterly distribution since the company
completed its initial public offering in December 2004.
Each IDS is comprised of one share of Common Stock paying dividends at
the direction of the Board of Directors and $7.50 principal amount of
13% senior subordinated notes due 2019 with interest paid quarterly.
The senior subordinated notes are callable at a premium of 6.5% plus
accrued interest during 2012, with the premium declining by 1.3% per
year through 2016.
The distribution consists of a dividend of $0.17625 per share of common
stock and an interest payment on the senior subordinated notes for the
period from December 30, 2011, through March 29, 2012, of $0.24375 per
note. Currently, it is anticipated that a portion of the Company's
dividends will be qualified dividends and the balance will be treated
as a return of capital for shareholder tax purposes in 2012.
ABOUT OTELCO
Otelco Inc. provides wireline telecommunications services in Alabama,
Maine, Massachusetts, Missouri, New Hampshire, Vermont and West
Virginia. The Company's services include local and long distance
telephone, network access, transport, digital high-speed data lines and
dial-up internet access, cable television and other telephone related
services. With more than 102,000 voice and data access lines, which are
collectively referred to as access line equivalents, Otelco is among
the top 25 largest local exchange carriers in the United States based
on number of access lines. Otelco operates ten incumbent telephone
companies serving rural markets, or rural local exchange carriers. It
also provides competitive retail and wholesale communications services
through several subsidiaries. For more information, visit the
Company's website at www.OtelcoInc.com.
For further information:
Curtis Garner
Chief Financial Officer
Otelco Inc.
205-625-3571
Curtis@otelcotel.com
No comments:
Post a Comment