NYSE Rule Implementation – Dividend Announcements
As noted in its annual guidance memorandum issued on January 10, 2018, the previously-announced New York Stock Exchange (“NYSE”) rule change relating to public dividend and stock distribution announcements will become effective on February 1, 2018. The new rule requires that NYSE-listed companies provide notice to the NYSE at least ten minutes before making any public announcement with respect to a dividend or stock distribution, including outside of market hours. This is a change from a previous requirement that the NYSE be notified of dividend and stock distribution announcements outside of market hours no later than simultaneously with the public announcement.
NYSE-listed companies should ensure that investor relations and other staff responsible for dividend announcements and NYSE communications are aware of this new requirement. The rule change does not affect the pre-existing NYSE requirements for announcements made during market hours. For additional detail on the impact of the rule change, please see this chart prepared by the NYSE.