Canadian Banc Recovery Corp
TSX : BK
TSX : BK.PR.A

Canadian Banc Recovery Corp

February 17, 2010 16:00 ET

Canadian Banc Recovery Corp Regular Monthly Dividend Declaration for Class A and Preferred Share

TORONTO, ONTARIO--(Marketwire - Feb. 17, 2010) - Canadian Banc Recovery Corp (formerly Prime Rate Plus Corp) ("The Company") declares its regular monthly distribution of $0.06250 (5.00% annualized) for each Class A share which reflects the distribution policy of prime rate in Canada (2.25% as at February 15, 2010) plus 2% annually. The Company also declares its regular monthly distribution of $0.04167 (5.00% annualized) for each Preferred share which reflects the distribution policy of prime rate plus 0.75% annually. An annual Class A and Preferred share payment of 5.00% is the minimum payment as per the prospectus and the rate will not decline below this level. Distributions are payable March 10, 2010 to shareholders on record as of February 26, 2010.

Since inception Class A shareholders have received a total of $4.43 per share and Preferred shareholders have received a total of $2.73 per share inclusive of this distribution, for a combined total of $7.16 per share.

The Company invests in a portfolio of six publicly traded Canadian Banks as follows: Bank of Montreal, Canadian Imperial Bank of Commerce, National Bank of Canada, Royal Bank of Canada, Bank of Nova Scotia, Toronto- Dominion Bank. Shares held within the portfolio are expected to range between 5-20% in weight but may vary at any time. To generate additional returns above the dividend income earned on the portfolio, Prime Plus will engage in a selective covered call writing program.

Distribution Details:    
     
Class A Share (BK)   $0.06250
Preferred Share (BK.PR.A)   $0.04167
Ex-Dividend Date:   February 24, 2010
Record Date:   February 26, 2010
Payable Date:   March 10, 2010

Contact Information

  • Canadian Banc Recovery Corp
    Investor Relations
    416-304-4443 or Toll Free: 1-877-4-Quadra (1-877-478-2372)
    www.primerateplus.com