Alcoa Corporation's Quarterly Dividend Announcement - August 2024
AAI (AAI) Share Update July 2024 Wednesday 31st
Alcoa Corporation Announces Quarterly Dividend Distribution
Alcoa Corporation (ASX: AAI) has announced a quarterly dividend distribution of USD 0.10 per share, with important dates and tax implications for shareholders.
Instant Summary:
- Quarterly dividend of USD 0.10 per share.
- Ex-dividend date: August 9, 2024.
- Record date: August 12, 2024.
- Payment date: August 29, 2024.
- 30% non-resident withholding tax unless certified for a lower rate.
Dividend Details
Alcoa Corporation has declared a quarterly dividend of USD 0.10 per share, payable to shareholders of record as of August 12, 2024. The ex-dividend date is set for August 9, 2024, and the payment will be made on August 29, 2024.
This dividend relates to the financial reporting period ending June 30, 2024. Shareholders should note that a 30% non-resident withholding tax will be deducted from the dividend payments, unless they have certified that they are tax residents of a country with a tax treaty with the U.S. and qualify for a lower withholding tax rate.
Tax and Payment Information
Alcoa CDI holders who have not already claimed a tax treaty benefit can download the relevant U.S. tax certification form from the Computershare website. Additionally, shareholders with registered addresses in Australia, New Zealand, United Kingdom, or the United States must provide valid banking details or Global Wire payment instructions to avoid having their payments withheld.
Shareholders residing outside these countries will receive their payments by cheque in Australian Dollars unless they provide valid banking instructions or Global Wire payment instructions. The deadline for submitting these details is 5:00 PM AEST on August 12, 2024.
Currency Options
Alcoa offers the option for dividend payments to be made in different currencies, including Australian Dollars, New Zealand Dollars, and British Pounds Sterling. Shareholders can elect to receive their payments in these currencies by providing the necessary banking details. For those opting for other currencies, Computershare's Global Wire payment solution is available.
The exchange rates for non-primary currency payments will be released on August 22, 2024. Shareholders can update their payment details online through the Computershare website or contact Computershare directly for assistance.
This quarterly dividend announcement is a positive indicator of Alcoa Corporation's financial health and commitment to returning value to shareholders. The consistent dividend payout may bolster investor confidence and attract new investors seeking stable returns. However, the 30% non-resident withholding tax could impact the net dividend received by international shareholders, potentially affecting their investment decisions.
Investor Reaction:
Analysts are likely to view this dividend announcement favorably, as it reflects Alcoa's strong financial position. The market reaction is expected to be positive, with potential increases in stock price due to the attractive dividend yield. However, the withholding tax implications may lead to mixed reactions from international investors.
Conclusion:
Investors should take note of the important dates and tax implications associated with Alcoa Corporation's quarterly dividend distribution. Ensuring that all necessary certifications and payment instructions are submitted on time will be crucial for maximizing the dividend received. This announcement underscores Alcoa's ongoing commitment to shareholder value, making it a potentially attractive investment opportunity.