| Trust Preferred Shares Suspended Interest/Dividend Issues Removed Called Issues Removed Sorted By Current Yield Sorted Once a Day Trust preferred shares are shares issued by a trust which a corporation forms exclusively to purchase subordinated debt of the corporation. It generally works like this--- 1) The trust issues shares of preferred stock. 2) From the proceeds of the sale the trust purchases a debt issue from the forming corporation. 3) The corporation thus pays the trust interest payments which are passed on to you. Because the forming corporation is now paying interest (instead of dividends) the payments are tax deductable to the corporation. The payments received by you are not dividends--they are interest--thus they are NOT eligible for the 15% qualified dividend tax rate. Most of the issues are $25.00 issues and generally are callable at $25.00 5 years from the date of issue. Interest is paid quarterly on most of these issues. Note that the issuer generally has the right to defer interest payments on most of these issues. Payments are cumulative, but they can be deferred---generally for up to either 20 or 40 quarters without have a default This does not generally take place with solvent issuers---if they start deferring--they likely will be out of business soon. Unlike regular preferred shares which generally have no maturity date---most trust preferred shares do have maturity dates (based upon the underlying debt maturity) Note that most Trust Preferred Stocks are Bank Trust Preferred Stock CAUTION---a YELLOW CELL in the 'Earliest Call Date" column means that the issue is NOW CALLABLE |
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