Royal Bank of Canada announces dividend rates on NVCC Non-Cumulative 5-Year Rate Reset First Preferred Shares Series BB, And ...

TORONTO, July 25, 2019 /CNW/ - Royal Bank of Canada (RY on TSX and NYSE) today announced the applicable dividend rates for its Non-Viability Contingent Capital (NVCC) Non-Cumulative 5-Year Rate Reset First Preferred Shares, Series BB (the "Series BB shares") and NVCC Non-Cumulative Floating Rate First Preferred Shares, Series BC (the "Series BC shares").

With respect to any Series BB shares that remain outstanding after August 24, 2019, holders will be entitled to receive quarterly fixed rate non-cumulative preferential cash dividends, as and when declared by the Board of Directors of Royal Bank of Canada, subject to the provisions of the Bank Act (Canada).

The dividend rate for the 5-year period from and including August 24, 2019 to, but excluding, August 24, 2024 will be 3.65% for Series BB shares, being equal to the 5-Year Government of Canada bond yield determined as of July 25, 2019 plus 2.26%, as determined in accordance with the terms of the Series BB shares.

With respect to any Series BC shares that may be issued on August 24, 2019, holders will be entitled to receive quarterly floating rate non-cumulative preferential cash dividends, calculated on the basis of the actual number of days elapsed in such quarterly period divided by 365, as and when declared by the Board of Directors of Royal Bank of Canada, subject to the provisions of the Bank Act (Canada).

The dividend rate for the floating rate period from and including August 24, 2019 to, but excluding, November 24, 2019 will be 3.91%, being equal to the 3-month Government of Canada Treasury Bill yield determined as of July 25, 2019 plus 2.26%, as determined in accordance with the terms of the Series BC shares.

Beneficial owners of Series BB shares who wish to exercise their conversion rights should instruct their broker or other nominee to exercise such rights on or prior to the deadline for notice of intention to convert, which is 5:00 p.m. (EST) on August 9, 2019.

SOURCE Royal Bank of Canada

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