Summit Bancshares, Inc. Announces an Increase in Cash Dividend and Payment Frequency Changed From Semi Annually to Quarterly

Rhea-AI Summary

Summit Bancshares Inc. (OTC-PINK: SMAL) has announced a shift from semi-annual to quarterly shareholder dividends. The Board declared a quarterly cash dividend of $0.10 per share, an increase of $0.01 per share, payable on March 15, 2022. Shareholders on record as of the close on February 22, 2022 will receive this payment. The Board expresses confidence that projected interest rate hikes will bolster net income, supporting the increased dividend while maintaining strong return on assets (ROA) and return on equity (ROE).

Positive

• Shift to quarterly dividend payments enhances shareholder returns.
• Increase in dividend from $0.09 to $0.10 per share reflects company confidence.
• Projected interest rate increases expected to boost net income.

Negative

• None.

OAKLAND, Calif.--(BUSINESS WIRE)-- The Board of Directors of Summit Bancshares Inc., at a meeting held on Jan 19, 2022, voted to change the frequency of Shareholder Dividends from semi-annual to quarterly and declared a quarterly cash dividend of $0.10 per share, an effective increase of $0.01 per share, payable on March 15, 2022, to holders of record as of the close of business on February 22, 2022.

The Board believes that projected interest rate increases will provide a sufficient increase to net income to allow for the increased dividend while continuing the bank’s history of superior ROA and ROE.

Summit Bancshares, Inc., (OTC Bulletin Board: SMAL) is the parent company of Summit Bank.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220127005746/en/

Steve Nelson

(510) 839-8800

Source: Summit Bancshares Inc.

FAQ

What is the new dividend frequency for Summit Bancshares (SMAL)?

Summit Bancshares has changed its dividend frequency from semi-annual to quarterly.

When is the next dividend payment for SMAL?

The next dividend payment is scheduled for March 15, 2022.

What is the amount of the declared dividend by Summit Bancshares (SMAL)?

The declared dividend is $0.10 per share, reflecting an increase of $0.01.

When is the record date for the upcoming dividend payout for SMAL?

The record date for the upcoming dividend payout is February 22, 2022.

Why did Summit Bancshares increase its dividend?

The increase in dividend is supported by projected interest rate hikes expected to enhance net income.