Common use of Optional Dividends Clause in Contracts

Optional Dividends. At times certain issuers that pay dividends may offer shareholders an opportunity to elect to receive stock or cash, or a combination of both. This is known as an “Optional Dividend.” The issuer will assign a default if no instruction is received. For example, the default option could be cash, stock, or a combination of both. I have the opportunity up until the applicable deadline to make an election to receive the payment of my choice. I have been advised, if I do not make an election prior to the deadline, my account will be assigned a default election based on the dividend reinvestment program instructions I established with respect to my account. This default election will be utilized in lieu of the issuer’s default option being applied to my account. For certain securities, dividend reinvestment may occur through DTC’s Dividend Reinvestment Program. This plan may be utilized if an issuer offers reinvestment at a discount. Eligibility for a security to be enrolled in the DTC Dividend Reinvestment Program or the Fidelity dividend reinvestment program is determined by Fidelity and may change without notice. A dividend reinvestment transaction will post to my account when the shares are made available to Fidelity by DTC. Such transactions are generally posted within 15 days after pay date. Note that dividend reinvestment does not ensure a profit on my investments and does not protect against loss in declining markets. If I sell my dividend-generating shares before the posting date, the dividend will not be reinvested.

Optional Dividends. At times certain issuers that pay dividends may offer shareholders an opportunity to elect to receive stock or cash, or a combination of both. This is known as an “Optional Dividend.” The issuer will assign a default if no instruction is received. For example, the default option could be cash, stock, or a combination of both. I You have the opportunity up until the applicable deadline to make an election to receive the payment of my their choice. I have been Please be advised, if I you do not make an election prior to the deadline, my your account will be assigned a default election based on the dividend reinvestment program instructions I you established with respect to my your account. This default election will be utilized in lieu of the issuer’s default option being applied to my your account. For certain securities, dividend reinvestment may occur through DTC’s Dividend Reinvestment Program. This plan may be utilized if an issuer offers reinvestment at a discount. Eligibility for a security to be enrolled in the DTC Dividend Reinvestment Program or the Fidelity dividend reinvestment program is determined by Fidelity and may change without notice. A dividend reinvestment transaction will post to my your account when the shares are made available to Fidelity by DTC. Such transactions are generally posted within 15 days after pay date. Note that dividend reinvestment does not ensure a profit on my your investments and does not protect against loss in declining markets. If I you sell my your dividend-generating shares before the posting date, the dividend will not be reinvested.