BAB, Inc. Announces Cash Distribution

Rhea-AI Summary

BAB, Inc. (OTCQB: BABB) announced a quarterly distribution of $0.01 per share, payable on April 19, 2023, to shareholders of record as of March 30, 2023. A portion of this distribution may be treated as a return of capital, while the remainder could be viewed as a dividend, depending on the company's earnings for the fiscal year ending November 30, 2023. The final classification will be communicated through a tax information return in early 2024. BAB, Inc. franchises popular brands like Big Apple Bagels and Brewster’s coffee.

DEERFIELD, Ill., March 13, 2023 (GLOBE NEWSWIRE) --  BAB, Inc. (OTCQB: BABB), today announced that its Board of Directors has declared a quarterly distribution of one cent ($0.01) per share, payable on April 19, 2023 to shareholders of record as of March 30, 2023.

The Company believes it is possible for tax purposes, a portion of this distribution and any future distributions that the Board may declare in 2023 (collectively, the “Distributions”) may be treated as a return of capital to shareholders to the extent of each shareholder’s basis, while the remaining portion of the Distributions may be treated as a dividend.

The portion of the April 19, 2023 Distribution that will be treated as a dividend will not be determined until January 2024, as that portion is dependent upon the Company’s earnings for tax purposes for its fiscal year ending November 30, 2023. The final determination will be reported to recipients of the Distributions on a tax information return in early 2024.

BAB, Inc. franchises and licenses Big Apple Bagels®, My Favorite Muffin®, SweetDuet® and Brewster’s® coffee. The Company’s stock is traded on the OTCQB under the symbol BABB and its web site can be visited at www.babcorp.com.

Certain statements in this press release constitute forward-looking statements or statements which may be deemed or construed to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words “forecast,” “estimate,” “project,” “intend,” “expect,” “should,” “would,” “believe” and similar expressions and all statements which are not historical facts are intended to identify forward-looking statements. These forward-looking statements involve and are subject to known and unknown risks, uncertainties and other factors which could cause the company’s actual results, performance (financial or operating), or achievements to differ from the future results, performance (financial or operating), or achievements expressed or implied by such forward-looking statements. The above factors are more fully discussed in the company’s SEC filings.

FAQ

What is the quarterly distribution announced by BAB, Inc. on March 13, 2023?

BAB, Inc. declared a quarterly distribution of $0.01 per share, payable on April 19, 2023.

When is the record date for the shareholder distribution by BAB, Inc.?

The record date for the distribution is March 30, 2023.

How will the distribution from BAB, Inc. be classified for tax purposes?

A portion may be treated as a return of capital and the remainder as a dividend, with final classifications determined in early 2024.