Arkansas Dividend Policy — Resolution For— - Corporate Resolutions The Arkansas Dividend Policy is a set of guidelines and procedures established by corporations in the state of Arkansas to govern the distribution of dividends to shareholders. This policy is usually documented in a resolution form, commonly known as the Arkansas Dividend Policy — Resolution Form. This resolution form outlines the specific details and terms related to the dividend distribution process, ensuring transparency and compliance with relevant laws and regulations. It serves as a binding agreement between the corporation and its shareholders, providing a framework for dividend payments. The Arkansas Dividend Policy — Resolution Form typically includes the following key components: 1. Dividend Declaration: This section specifies the authority responsible for declaring dividends, typically the board of directors or shareholders in a general meeting. It outlines the frequency and timing of dividend declarations, whether they are declared quarterly, annually, or on an ad-hoc basis. 2. Dividend Calculation: Here, the specific formula or method used to calculate the dividend amount is disclosed. This may be based on a percentage of the company's profits or earnings per share (EPS), among other determinants. 3. Dividend Payment: Details regarding the mode of dividend payment, such as checks, electronic transfers, or dividend reinvestment programs (Drips), are included in this section. The form may also outline any preferred payment methods for shareholders and the timeline for dividend disbursements. 4. Dividend Eligibility: This section states the criteria a shareholder must fulfill to be eligible to receive dividends. It may specify conditions such as holding a minimum number of shares or being a shareholder of record on a specific date, commonly known as the dividend record date. 5. Dividend Reinvestment: Some corporations may provide an option for shareholders to reinvest their dividends into additional shares of the company rather than receiving cash. If such a program is available, details regarding its availability and process will be outlined in this section. It is important to note that there can be variations in dividend policies and resolution forms across different corporations in Arkansas. Some corporations may have more lenient or stricter policy guidelines, depending on their industry, financial stability, or long-term strategic objectives. Overall, the Arkansas Dividend Policy — Resolution Form is a crucial document that establishes guidelines for dividend distribution, promoting transparency, and ensuring fairness among shareholders.