BB&T 2015 Annual Report Download - page 29

TableofContents



BB&T’s common stock is traded on the NYSE under the symbol “BBT.” The common stock was held by approximately 384,000 shareholders at December
31, 2015 compared to approximately 346,000 shareholders at December 31, 2014. The following table sets forth the quarterly high and low trading prices
and closing sales prices for BB&T’s common stock and the dividends declared per share of common stock for each of the last eight quarters.


 
 
   
       
Quarter Ended:
March 31 $ 40.17 $ 34.95 $ 38.99 $ 0.24 $ 41.04 $ 36.28 $ 40.17 $ 0.23
June 30 41.70 37.33 40.31 0.27 40.95 36.38 39.43 0.24
September 30 41.90 34.73 35.60 0.27 40.21 35.86 37.21 0.24
December 31 39.47 34.24 37.81 0.27 39.69 34.50 38.89 0.24
Year $ 41.90 $ 34.24 $ 37.81 $ 1.05 $ 41.04 $ 34.50 $ 38.89 $ 0.95
Common Stock, Dividends and Share Repurchases
BB&T’s ability to pay dividends is primarily dependent on earnings from operations, the adequacy of capital and the availability of liquid assets for
distribution and is subject to the FRB not objecting to its capital plan. BB&T’s ability to generate liquid assets for distribution is dependent on the ability of
Branch Bank to pay dividends to the Parent Company. The payment of cash dividends is an integral part of providing a competitive return on shareholders’
investments. The Company’s policy is to accomplish this while retaining sufficient capital to support future growth and to meet regulatory requirements.
Management has established a guideline that the common dividend payout ratio will be between 30% and 50% and the total payout ratio (including
dividends and share repurchases) will be between 30% and 80% of basic EPS during normal economic conditions. BB&T’s common dividend payout ratio,
computed by dividing dividends declared per common share by basic EPS, was 40.5% in 2015 compared to 34.4% in 2014. BB&T has paid a cash dividend
to shareholders every year since 1903. BB&T expects common dividend declarations, if declared, to occur in January, April, July and October with payment
dates on or about the first of March, June, September and December. A discussion of dividend restrictions is included in Note 15 “Regulatory Requirements
and Other Restrictions” in the “Notes to Consolidated Financial Statements” and in the “Regulatory Considerations” section.
Share Repurchases
BB&T has periodically repurchased shares of its own common stock. In accordance with North Carolina law, repurchased shares cannot be held as treasury
stock, but revert to the status of authorized and unissued shares upon repurchase.
The Board of Directors had previously granted authority under the 2006 Repurchase Plan for the repurchase of up to 50 million shares of BB&T’s common
stock. No shares were repurchased in connection with the 2006 Repurchase Plan during 2015, 2014, or 2013.
During June 2015, the Board of Directors authorized a new plan, the 2015 Repurchase Plan, to repurchase up to 50 million shares of the Company’s common
stock. Repurchases under the 2015 Repurchase Plan may be effected through open market purchases or privately negotiated transactions. The timing and
exact amount of repurchases will be consistent with the Company’s capital plan and subject to various factors, including the Company’s capital position,
liquidity, financial performance, alternative uses of capital, stock trading price and general market conditions, and may be suspended at any time. The 2015
Repurchase Plan replaces the 2006 Repurchase Plan and does not have a specified termination date. No shares were repurchased in connection with the 2015
Repurchase Plan during 2015.
25
Source: BB&T CORP, 10-K, February 25, 2016 Powered by Morningstar® Document Research℠
The information contained herein may not be copied, adapted or distributed and is not warranted to be accurate, complete or timely. The user assumes all risks for any damages or losses arising from any use of this information,
except to the extent such damages or losses cannot be limited or excluded by applicable law. Past financial performance is no guarantee of future results.