Your explanation is incomplete. Are Tony & Bob brothers? Cousins? Neighbors? Do they even know each other? If so, did Tony ever tip off Bob, or did he razz him for being a putz?
Are you really Tony?
"as per their web site today, 02/10"
Those dates are for the Oslo Stock Exchange. Ex dates for US stock exchanges are never on the day immediately preceding the record date.
"Is the ex dividend date the 10th or the 15th?"
"The Business Wire article on the SXCP website says the 15th"
No, it doesn't. It says the record date is the 15th. It doesn't even mention the ex-date. Record date and ex-date are not the same thing.
In the past three years it hasn't even declared the first dividend of the year until the last week of February, so how can you say it should've gone ex last week?
Oh, riding a death spiral isn't necessarily the worst thing that could happen. Just imagine what it would be like to live every day in a world where Monday is only two days before Friday.
" I just bought in today, and was wondering if I will get the dividend?"
No, you won't.
"Reading the press release it sounds like I will, but maybe I'm missing something"
Yes, you're missing something. To get a dividend you have to be a shareholder of record on the record date. Today is the record date for this dividend, but to be a shareholder of record today, you would've had to buy the stock on Tuesday because you don't become a shareholder of record until your purchase trade settles, and it takes three business days for trades to settle. You won't become a shareholder of record until next Wednesday.
Your optional homework is to help osborn_07 pull his head out of his ljfhdfxg. Shouldn't take too long. All he has to do is learn to count to two backwards. ...On second thought, you might be at it a while.
"Today is the record date. The ex-dividend date is two business days prior, i.e. Monday."
Monday is two business days before today, which is Friday?
Thanks! I almost missed the Superbowl, which is two days from now, i. e. last Wednesday.
"then this is a zero-sum game"
Yes, buying a stock just to get a dividend IS a zero sum game. Many will argue that it isn't, simply on the basis that some stocks trade up a bit on the ex-date, but stocks go up and down every day without specific news, so those that trade up on an ex-date would have whether it was an ex-date or not.
"Doesn't make sense though."
Sure it does.
"Open should not be any higher than 61.19 minus 60 cents.???"
No. The stock price adjustment for a dividend is made to only two things: 1. The previous trading day's closing price, and 2. All outstanding orders for the stock that were placed before the ex-date and are still open.
Stocks are free to open at any price on the ex-date, just like on any other day. If you watch a few stocks at the open on their ex-dates, you'll see that it's fairly rare for a stock to open at the previous closing price minus the dividend exactly.
"to stockholders of record at the close of business on February 11, 2016" which makes ex dividend Feb 12"
No, c3c4d*** is correct. You're mixing up ex-dates for mutual funds with ex-dates for stocks. Only mutual funds have the ex-date as the first day following the record date.
With a spinoff, you continue to own the same number of shares of the parent company you had before the spinoff, but the parent company shares are reduced in price by the value of the spun off shares. The only exception is when the parent company's adjusted share price is so low that they do a reverse split at the same time.
The value of the spinoff shares are determined in when-issued trading for at least two weeks before the spinoff is effected.
"the company decides the x-date"
No, companies never decide when an ex-date will be. Ex-dates are set by the stock exchange the company trades on. Companies set the record and payment dates. But yes, the ex-date was Feb 1.
"If not, then this is a no brainer that people buy the share on Feb 11 and sell it on Feb 12 and bag the $1.20. What gives?"
What gives is that you've got the dates wrong. Feb 11 is the record date, not the ex-date. Record date and ex-date are not the same thing. The ex-date is Feb 9. Anyone buying on the 11th doesn't get the dividend. Anyone buying on the 9th doesn't either.
"you are correct that last time share price did not drop"
No, he's not correct. It did indeed drop. It dropped on all four ex-dates last year.
"I have other dividend paying stocks which drop on their 'Ex date'. So, it seems that this term is being used loosely by the financial industry."
No, it's not being used loosely. On the ex-date of every stock paying a dividend (or distribution) of one penny or more, all outstanding orders are adjusted down before the open of trading on the ex-date (NOT the payment date). Although all outstanding orders are reduced, all stock are free to open at any price on the ex-date. Most do, but some don't.
"So, I assume that on Feb 11, this stock should rise by at least 5% because owners want part of the action."
No, Feb 11 is the record date, not the ex-date. The ex-date is Feb 9, so the last day to buy and get the dividend is Feb 8.
"But who knows about reaction of (any) stock these days"
Well, you have to look at the right date.
"wouldn't they have to call it a distribution, rather than a dividend, if they were to take it out of share price?"
No. The difference between a dividend and a distribution is that a dividend comes out of profits. If a dividend is not covered by earnings, then it's a distribution. And nobody takes it out of the share price. Before the open of trading on the ex-date all outstanding orders are reduced by the amount of the payout, whether it's a dividend or a distribution, but when the stock begins trading, it is free to trade at any price, just like at any other time. There is no requirement for a stock to trade lower at the open on the ex-date. But more often than not they do, for who would buy a stock for the same price on the ex-date when the the dividend no longer belongs to the stock , as it did the day before? If it's a small distribution, the price may not go down on the ex because the daily trading range may swallow the whole amount. But if it's a sizable one, the price will go down unless some other event affects the stock to the upside.
"Last year's payment of the dividend took place on February 19, yet the share price did not drop on that day."
The share price adjustment for a dividend doesn't happen on the payment date, it happens on the ex-date. On the day before the ex-date the stock trades with the right to the dividend. The ex-date is the first day a stock trades without the right to the dividend, not the record date. Last year the payment date was Feb 19 but the ex-date was Feb 11. On Feb 10 the stock closed at 50.26. On Feb 11,the ex-date, it opened at 49.56. It adjusted down but not by the full amount of the payout. Very common.
I didn't read an article. I looked on the NASDAQ website. Since it is the NASDAQ that decides when the ex-date will be, not the company or the author of an article, that's probably the most accurate source.
"The ex-dividend date was Feb 2"
No, the ex-date was Feb 1.
"If I buy today, will I get the dividend on Feb 12th"
Check the definition of "ex-dividend."