That's the wrong question. The right ones are:1) how will profits be.2) what is the economic outlook in Europe, Americas?3) will Europe get their act together?4) how accurate are STD books?5) will STD need a bailout or backstop?After all of that, then ask about the dividend. Your question is like asking Mrs. Lincoln was the play good?.dp
1) how will profits be?Lower -- in Europe, but okay in STD's operations here.2) what is the economic outlook in Europe, Americas?Europe? Stagnation. Here? Looking a little better.3) will Europe get their act together?Europe's act is to spend excessively and deny the economic reality of their folly. Europe will stay the course.4) how accurate are STD books?Hmmm. Tough question.5) will STD need a bailout or backstop?It's getting one now.6) After all of that, then ask about the dividend. The EU will demand a sharp dividend reduction during the retrenchment period.
If this bank gets any bailout money for ECB or Germany in particular, my money is on all dividends being curtailed until the bailout funds are given back.We had similar stipulations with our TARP program.Why would a lender [think Germany here] ever let you piddle away the money they just gave you on dividends to the shareholders?
Makes sense. However, I do not think STD will need any EU bailout money. They are in good shape, you will see.