Covid-19 Stimulus Bill Will Reportedly Limit Buybacks, Dividends for Companies

Covid-19 Stimulus Bill Will Reportedly Limit Buybacks, Dividends for Companies

Mar 25, 2020

By Yasin Ebrahim 

Companies that take a loan through the stimulus package will be restricted from buying back their stock until one year after the loan is repaid and also will not be allowed to pay any dividends if their loan is outstanding, CNBC reported.

The coronavirus stimulus package, which could include one-time checks worth $1,200 to Americans, tax breaks and bailouts to industries hurt by the impact from the virus such as aviation and hospitality, is expected to clear the Senate in a vote later today, with a vote in the House reportedly slated for Thursday.

 

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