05-23-2020, 09:08 AM
Molson-Coors (TAP) suspends the dividend. Gotta love them doing so with a weekend 8-K and no press release eh?
On May 21, 2020, the Board determined that it will suspend its regular quarterly dividends on its Class A and Class B common shares otherwise payable in the
2020 fiscal year. In addition, Molson Coors Canada Inc. also determined on May 21, 2020 that it will suspend its regular quarterly dividends on its Class A and
Class B exchangeable shares payable in the 2020 fiscal year.
The Board’s decision to suspend the dividend follows a number of other steps the Company has taken in recent weeks with the aim of protecting and bolstering the
Company’s liquidity position in response to the global economic uncertainty created by the Coronavirus pandemic. Those steps include: (i) reducing planned 2020
capital expenditures by approximately $200 million; (ii) reducing discretionary spending, limiting new hiring and decreasing marketing spend corresponding to the
current environment; (iii) furloughing certain employees in the company’s Europe business and North America hospitality businesses; (iv) shifting marketing
investments to focus on key media platforms that the Company’s consumers are at and eliminating spend that the Company believes will not deliver value in the
current environment; (v) using savings from the revitalization plan it announced in October 2019 aiming to protect the Company’s liquidity position; (vi) prudently
utilizing the Company’s $1.5 billion credit facility as necessary; and (vii) actively evaluating various European government liquidity programs potentially available
to the Company and its subsidiaries.
On May 21, 2020, the Board determined that it will suspend its regular quarterly dividends on its Class A and Class B common shares otherwise payable in the
2020 fiscal year. In addition, Molson Coors Canada Inc. also determined on May 21, 2020 that it will suspend its regular quarterly dividends on its Class A and
Class B exchangeable shares payable in the 2020 fiscal year.
The Board’s decision to suspend the dividend follows a number of other steps the Company has taken in recent weeks with the aim of protecting and bolstering the
Company’s liquidity position in response to the global economic uncertainty created by the Coronavirus pandemic. Those steps include: (i) reducing planned 2020
capital expenditures by approximately $200 million; (ii) reducing discretionary spending, limiting new hiring and decreasing marketing spend corresponding to the
current environment; (iii) furloughing certain employees in the company’s Europe business and North America hospitality businesses; (iv) shifting marketing
investments to focus on key media platforms that the Company’s consumers are at and eliminating spend that the Company believes will not deliver value in the
current environment; (v) using savings from the revitalization plan it announced in October 2019 aiming to protect the Company’s liquidity position; (vi) prudently
utilizing the Company’s $1.5 billion credit facility as necessary; and (vii) actively evaluating various European government liquidity programs potentially available
to the Company and its subsidiaries.