Albertsons Companies Issues Statement Regarding the Delay of the Washington State Court’s Hearing on its Special Dividend Payment

Rhea-AI Summary

Albertsons Companies (NYSE: ACI) announced the postponement of a hearing regarding a temporary restraining order (TRO) by the State of Washington preventing the distribution of a $6.85 per share Special Dividend to shareholders of record from October 24, 2022. The hearing is set for November 16 and 17, with the TRO still in effect. Albertsons asserts the claim is meritless and stands by its Board's decision to approve the dividend.

Positive

• Company maintains confidence in legal position regarding dividend
• Special Dividend remains approved by Board of Directors

Negative

• Postponement of dividend payment creates uncertainty for shareholders
• TRO restricts cash distribution to shareholders

BOISE, Idaho--(BUSINESS WIRE)-- Albertsons Companies (NYSE: ACI) (“Albertsons Cos.” or “the Company”) today announced that the Washington State Court has postponed the date of the hearing regarding the temporary restraining order (“TRO”) granted to the State of Washington. The TRO restrains the Company from paying the previously announced $6.85 per share Special Dividend (the “Special Dividend”) to stockholders of record as of the close of business on October 24, 2022.

The hearing is scheduled to take place Wednesday, Nov. 16 and Thursday, Nov. 17, and the TRO remains in effect.

Albertsons Cos. continues to believe that the claim brought by the State of Washington is meritless and provides no legal basis for canceling or postponing a dividend that has been duly and unanimously approved by Albertsons Cos.’ fully informed Board of Directors.

Forward-Looking Statements

This press release includes “forward-looking statements” within the meaning of the federal securities laws. The “forward-looking statements” include our current expectations, assumptions, estimates and projections about the Special Dividend and the payment thereof. They include statements which the Company believes to be reasonable at this time. You can identify forward-looking statements by the use of words such as “outlook,” “may,” “should,” “could,” “estimates,” “predicts,” “potential,” “continue,” “anticipates,” “believes,” “plans,” “expects,” “future” and “intends” and similar expressions which are intended to identify forward-looking statements.

These statements are not guarantees of future performance and are subject to numerous risks and uncertainties which are beyond our control and difficult to predict and could cause actual results to differ materially from the results expressed or implied by the statements.

All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by these cautionary statements and risk factors. Forward-looking statements contained in this press release reflect our view only as of the date of this press release. We undertake no obligation, other than as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

In evaluating our forward-looking statements, you should carefully consider the risks and uncertainties more fully described in the “Risk Factors” section or other sections in our reports filed with the SEC.

View source version on businesswire.com: https://www.businesswire.com/news/home/20221110006227/en/

For Investor Relations, contact investor-relations@albertsons.com

For Media Relations, contact media@albertsons.com

Source: Albertsons Companies, Inc.

FAQ

What is the status of Albertsons' Special Dividend as of November 2022?

The Special Dividend of $6.85 per share is currently postponed due to a temporary restraining order from the State of Washington.

When is the hearing scheduled concerning the Special Dividend?

The hearing regarding the Special Dividend is scheduled for November 16 and 17, 2022.

What is Albertsons' stance on the claims made by the State of Washington?

Albertsons believes the claims are meritless and that there is no legal basis to cancel or postpone the dividend.

What date is the dividend payment record for Albertsons?

The record date for the Special Dividend payment was set for October 24, 2022.

How does the temporary restraining order affect Albertsons shareholders?

The TRO prevents the distribution of the approved Special Dividend, creating uncertainty for shareholders.