SBR is a Public trust; as such SBR has no other choice but to distribute Sabine Royalty Trust owns royalty interests in oil and gas properties located on about 2.1 million gross acres (216,551 net) in Florida, Louisiana, Mississippi, New Mexico, Oklahoma, and Texas. The trust, which was formed in 1983, receives royalties based on the amount of oil and gas produced and sold and distributes them on a monthly basis to shareholders. Although royalty trusts distribute essentially all royalties received to shareholders (at substantial tax advantage), their profitability depends on the price of oil and gas and the continued productivity of the properties. Sabine Royalty Trust's properties have proved reserves of about 5.3 million barrels of oil and 35.6 billion cu. ft. of NG. A US Trust as compared to a MLP cannot change or modify the trust assets.
From the latest report. Number of units of beneficial interest outstanding at May 7, 2012: 14,579,345 Distributable Income per Unit Basic distributable income per Unit is computed by dividing distributable income by the weighted average Units outstanding. Distributable income per Unit assuming dilution is computed by dividing distributable income by the weighted average number of Units and equivalent Units outstanding. The Trust had no equivalent Units outstanding for any period presented. Therefore, basic distributable income per Unit and distributable income per Unit assuming dilution are the same.
SBR has a monthly dividend, better deal than waiting 3 month. This market has to be treated as midterm or 6 month. I can see a serious bump in October / November especially if Obaminable is down in the polls. As long as I do not sell I do not lose. I just cannot buy, It is only a half lose potentially.