US egg producer Cal-Maine Foods has announced that it is to initiate payment of its new variable rate dividend policy for the third quarter of fiscal 2008.
The new policy sees the quarterly dividend computed in accordance with generally accepted accounting principles in an amount equal to one third of the company’s quarterly income.
For the third quarter of fiscal 2008, which ended 1 March, 2008, Cal-Maine will pay a cash dividend of approximately $.807 per share to holders of its common stock.
In addition, a cash dividend of $.767 per share will be paid to holders of its Class
A common stock, which represents 95% of the amount paid to holders of common stock.
Fred Adams, Jr., Cal-Maine chairman and chief executive officer, said: “Cal-Maine delivered a very solid performance in the third quarter of fiscal 2008, with net income of $57.2 million, or $2.41 per basic share. These results reflect record high egg prices and very favorable market conditions in the egg industry. As we commence our new variable rate dividend policy this quarter, we are pleased that our strong performance has provided this opportunity to reward our shareholders.”