Hannon Armstrong Announces 2020 Dividend Income Tax Treatment

Rhea-AI Summary

Hannon Armstrong Sustainable Infrastructure Capital, a leader in climate solutions, released the estimated Federal income tax treatment of its 2020 distributions amounting to $1.355 per share. The report details distributions classified as return of capital. Significant dates include record date December 28, 2020, and payment date January 8, 2021. Shareholders should consult their tax advisors regarding the tax implications of these distributions. Hannon Armstrong manages over $6 billion in assets, focusing on energy efficiency and renewable energy investments.

Positive

• 2020 total distribution of $1.355 per share, indicating firm commitment to shareholder returns.
• Managed over $6 billion in assets, demonstrating financial stability and investor confidence.

Negative

• All distributions classified as return of capital, raising sustainability concerns.

Hannon Armstrong Sustainable Infrastructure Capital, Inc. ("Hannon Armstrong," or the "Company") (NYSE: HASI), a leading investor in climate solutions, today announced the estimated Federal income tax treatment of the Company’s 2020 distributions on its common stock (CUSIP #41068X100).

The Federal income tax classification of the aggregate $1.355 distribution per share on the Company's common stock with respect to the calendar year ended December 31, 2020, is shown in the table below:

Record Date	Payable Date	Total Distribution Per Share	Ordinary Income Per Share	Return of Capital Per Share	Capital Gain Per Share
12/26/2019	01/10/2020	$0.3350	$0.0000	$0.3350	$0.0000
4/2/2020	4/10/2020	$0.3400	$0.0000	$0.3400	$0.0000
7/2/2020	7/9/2020	$0.3400	$0.0000	$0.3400	$0.0000
10/2/2020	10/9/2020	$0.3400	$0.0000	$0.3400	$0.0000
2020	Total	$1.3550	$0.0000	$1.3550	$0.0000
12/28/2020	1/8/2021		To Be Reported on 2021 1099-Div

As the Company's aggregate distributions exceeded its taxable earnings and profits, the January 2021 distribution declared in the fourth quarter of 2020 and payable to shareholders of record as of December 28, 2020, will be treated as a 2021 distribution for Federal income tax purposes and is not included on the 2020 Form 1099. Stockholders are encouraged to consult with their own tax advisors as to their specific tax treatment of the Company's distributions.

About Hannon Armstrong

Hannon Armstrong (NYSE: HASI) is the first U.S. public company solely dedicated to investments in climate solutions, providing capital to leading companies in energy efficiency, renewable energy, and other sustainable infrastructure markets. With more than $6 billion in managed assets as of September 30, 2020, Hannon Armstrong's core purpose is to make climate-positive investments with superior risk-adjusted returns. For more information, please visit www.hannonarmstrong.com. Follow Hannon Armstrong on LinkedIn and Twitter @HannonArmstrong.

Forward Looking Statements

Some of the information in this press release contains forward-looking statements and within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. When used in this press release, words such as "believe," "expect," "anticipate," "estimate," "plan," "continue," "intend," "should," "may," "target," or similar expressions, are intended to identify such forward-looking statements. Forward-looking statements are subject to significant risks and uncertainties. Investors are cautioned against placing undue reliance on such statements. Actual results may differ materially from those set forth in the forward-looking statements. Factors that could cause actual results to differ materially from those described in the forward-looking statements include those discussed under the caption "Risk Factors" included in our Annual Report on Form 10-K for our fiscal year ended December 31, 2019, which was filed with the U.S. Securities and Exchange Commission ("SEC"), as well as in other reports that we file with the SEC.

Forward-looking statements are based on beliefs, assumptions and expectations as of the date of this press release. We disclaim any obligation to publicly release the results of any revisions to these forward-looking statements reflecting new estimates, events or circumstances after the date of this press release.

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FAQ

What is the dividend distribution amount for Hannon Armstrong in 2020?

The total dividend distribution for Hannon Armstrong in 2020 was $1.355 per share.

When will Hannon Armstrong's January 2021 distribution be paid?

The January 2021 distribution will be payable on January 8, 2021.

How should shareholders treat Hannon Armstrong's 2020 distributions for tax purposes?

Hannon Armstrong's 2020 distributions should be treated as return of capital, and shareholders should consult their tax advisors.

What is the record date for Hannon Armstrong's January 2021 distribution?

The record date for Hannon Armstrong's January 2021 distribution was December 28, 2020.

Is Hannon Armstrong's distribution income taxable?

The distributions are considered return of capital and are not classified as taxable income for 2020.