Business Context and Reporting Period
This Form 8-K filing by Arch Capital Group Ltd. (Bermuda) is dated November 3, 2016. The report discloses the declaration of dividends on two series of non-cumulative preferred shares by the company's Board of Directors.
Key Financial Metrics
The filing details specific dividend obligations rather than general operating metrics such as revenue or cash flow.
- Series C Preferred Shares: 13,000,000 shares outstanding with a 6.75% rate and $25.00 liquidation preference per share.
- Series E Preferred Shares: 18,000,000 depositary shares outstanding (representing 1/1000th interest) with a 5.25% rate and $25.00 liquidation preference per depositary share.
Material Changes and Dividend Details
The Board declared the following dividends on November 3, 2016:
| Series | Dividend Period | Total Dividend Amount | Rate Per Share | Record Date | Payment Date |
|---|---|---|---|---|---|
| Series C | Sept 30, 2016 - Dec 30, 2016 | $5,484,375 | $0.421875 | Dec 15, 2016 | Dec 31, 2016 |
| Series E | Sept 29, 2015 - Jan 2, 2017 | $6,168,750 | $0.33906 | Dec 15, 2016 | Jan 3, 2017 |
All dividends are payable out of lawfully available funds under Bermuda law, subject to Board determination.
Guidance, Outlook, and Risks
The filing does not provide guidance, outlook, or management commentary regarding future operations. The primary contingency noted is that the Board or Executive Committee may determine otherwise regarding the payment terms on or prior to the applicable effective dates.
Investor Verification Checklist
- Verify the record date of December 15, 2016, to confirm eligibility for the declared dividends.
- Confirm the payment dates of December 31, 2016 (Series C) and January 3, 2017 (Series E).
- Review the company's liquidity status to ensure "lawfully available funds" are sufficient for the total payout of approximately $11.65 million.
- Note that the Series E dividend covers a period extending into 2017 (Sept 29, 2015 - Jan 2, 2017).