Royal Bank of Canada

Royal Bank of Canada

March 27, 2006 09:25 ET

Royal Bank of Canada Announces Preferred Share Issue

TORONTO, ONTARIO--(CCNMatthews - March 27, 2006) - Royal Bank of Canada today announced a domestic public offering of $300 million of Non-Cumulative First Preferred Shares Series AA.

The bank will issue 12 million Series AA Preferred Shares priced at $25 per share and holders will be entitled to receive non-cumulative preferential quarterly dividends in the amount of $.278125 per share, to yield 4.45 per cent annually.

Subject to regulatory approval, on or after May 24, 2011, the bank may redeem the Series AA Preferred Shares in whole or in part at a declining premium.

The offering will be underwritten by a syndicate led by RBC Dominion Securities Inc. The expected closing date is April 4, 2006.

The net proceeds of this transaction will be used for general business purposes and will strengthen the bank's capital ratios.

Contact Information

  • Media contacts:
    Dave Mun
    Investor Relations
    Toronto - (416) 955-7808
    or
    Beja Rodeck
    Media Relations
    Toronto - (416) 974-5506