Common Dividend Policy
The declaration and payment of dividends and the amount thereof are at the discretion of the Board, which takes into account the Company's financial results, capital requirements, available cash flow and other factors the Board considers relevant from time to time. Over the long term, the Company's objective is for its dividend payment ratio to be in the range of 20% to 25% of the prior year's basic net earnings per common share adjusted as appropriate for items which are not regarded to be reflective of ongoing operations giving consideration to the year end cash position, future cash flow requirements and investment opportunities.
Common Dividend Dates
The declaration and payment of quarterly dividends are made subject to approval by the Board of Directors. The anticipated record and payment dates for 2011 are:
| RECORD DATE | PAYMENT DATE |
|---|
| Mar. 15 | Apr. 1 |
| June 15 | July 1 |
| Sept. 15 | Oct. 1 |
| Dec. 15 | Dec. 30 |
Preferred Share Dividend Dates
The declaration and payment of quarterly dividends are made subject to approval by the Board of Directors. The anticipated payment dates for 2011 are: January 31, April 30, July 31 and October 31.
Designation of Eligible Dividends
Loblaw Companies Limited, for the purposes of the Income Tax Act and any similar provincial legislation, advises that its dividends indicated as "Eligible" below are eligible dividends, and those indicated as "Ineligible" are not eligible dividends.
Loblaw Companies Limited Common Shares
| Record Date | Payment Date | Dividend Declared (Per Share) | Eligible/Ineligible |
|---|
| June 15, 2010 | July 1, 2010 | $0.19547 | Eligible |
| June 15, 2010 | July 1, 2010 | $0.01453 | Ineligible |
| Sept. 15, 2010 | Oct. 1, 2010 | $0.19553 | Eligible |
| Sept. 15, 2010 | Oct. 1, 2010 | $0.01447 | Ineligible |
| Dec. 15, 2010 | Dec. 30, 2010 | $0.19558 | Eligible |
| Dec. 15, 2010 | Dec. 30, 2010 | $0.01442 | Ineligible |
| Mar. 15, 2011 | Apr. 1, 2011 | $0.18690 | Eligible |
| Mar. 15, 2011 | Apr. 1, 2011 | $0.02310 | Ineligible |
| June 15, 2011 | July 1, 2011 | $0.18695 | Eligible |
| June 15, 2011 | July 1, 2011 | $0.02305 | Ineligible |
| Sept. 15, 2011 | Oct 1, 2011
| $0.19626 | Eligible |
| Sept. 15, 2011 | Oct 1, 2011
| $0.01374 | Ineligible |
| Dec. 15, 2011 | Dec. 30, 2011 | $0.19698 | Eligible |
| Dec. 15, 2011 | Dec. 30, 2011 | $0.01302 | Ineligible |
Loblaw Companies Limited Second Preferred Shares, Series A
| Record Date | Payment Date | Dividend Declared (Per Share) | Eligible/ Ineligible |
|---|
| Apr. 15, 2010 | Apr. 30, 2010 | $0.371875 | Eligible |
| July 15, 2010 | July 31, 2010 | $0.371875 | Eligible |
| Oct. 15, 2010 | Oct. 31, 2010 | $0.371875 | Eligible |
| Jan 15, 2011 | Jan 31, 2011 | $0.371875 | Eligible |
| Apr 15, 2011 | Apr 30, 2011 | $0.371875 | Eligible |
| July 15, 2011 | July 31, 2011 | $0.371875 | Eligible |
| Oct. 15, 2011 | Oct. 31, 2011 | $0.371875 | Eligible |
| Jan 15, 2012 | Jan 31, 2012 | $0.371875 | Eligible |
NOTICE OF TERMINATION OF LOBLAW DIVIDEND REINVESTMENT PLAN (“DRIP”)
As previously announced, the DRIP for Loblaw Companies Limited will terminate after the completion of the April 1, 2011 common share dividend payment. The termination of the DRIP was announced in the Company’s Q4 News Release issued on February 24, 2011.
The Board of Directors of Loblaw Companies Limited approved the discontinuance of the DRIP after the dividend payment on April 1, 2011 when approximately $300 million in common share equity will be raised through the program. This target was disclosed as part of the initial announcement of the DRIP.
A share certificate for whole common shares held under a Participant’s account under the DRIP and a cash payment for any fractions of a share held in such account, based on the closing price of the common shares on the TSX as of the close of the trading day following the date of the termination of the DRIP, will be remitted to the Participant.