B&G Foods Announces Tax Treatment of Common Stock Dividends Paid in 2011
PARSIPPANY, N.J.--(BUSINESS WIRE)-- B&G Foods, Inc. (BGS) today explained the tax treatment for dividends paid in 2011 on the Companys common stock. Holders are urged to check their 2011 tax statements received from brokerage firms in order to ensure that the cash distribution information reported on such statements conforms to the information reported herein.
Additional information concerning the tax treatment of dividends paid in 2011 is posted to the Investor Relations section of B&G Foods website, www.bgfoods.com, under the heading Investor FAQ. Holders are also urged to consult their own tax advisors to determine their individual tax treatment.
In 2011, B&G Foods distributed $0.8000 per share of common stock (CUSIP # 05508R 10 6). Based on U.S. federal income tax laws, B&G Foods has determined that of such distributions, approximately 70.4% (or $0.5634 per share) will be treated as a taxable dividend and approximately 29.6% (or $0.2366 per share) will be treated as a return of capital. Generally, the portion of the distribution on the common stock that is treated as a return of capital should reduce the tax basis in the shares of common stock up to a holders adjusted basis in the common stock, with any excess treated as capital gains.
The table below summarizes the tax treatment for dividends paid in 2011 on the Companys common stock.
About B&G Foods, Inc.
B&G Foods and its subsidiaries manufacture, sell and distribute a diversified portfolio of high-quality, shelf-stable foods and household products across the United States, Canada and Puerto Rico. B&G Foods products include hot cereals, fruit spreads, canned meats and beans, spices, seasonings, marinades, hot sauces, wine vinegar, maple syrup, molasses, salad dressings, Mexican-style sauces, taco shells and kits, salsas, pickles, peppers and other specialty food and household products. B&G Foods competes in the retail grocery, food service, specialty, private label, club and mass merchandiser channels of distribution. Based in Parsippany, New Jersey, B&G Foods products are marketed under many recognized brands, including Accent, B&G, Bakers Joy, B&M, Brer Rabbit, Cream of Rice, Cream of Wheat, Don Pepino, Emerils, Grandmas Molasses, Joan of Arc, Kleen Guard, Las Palmas, Maple Grove Farms of Vermont, Molly McButter, Mrs. Dash, Ortega, Polaner, Red Devil, Regina, Sa-són, Sclafani, Static Guard, Sugar Twin, Trappeys, Underwood, Vermont Maid and Wrights.
IRS Circular 230 Disclosure
The discussion contained in this press release as to tax matters is not intended or written to be used, and cannot be used, for the purpose of avoiding United States federal income tax penalties. Such discussion is written to support the promotion or marketing of the transactions or matters addressed in this press release. Each taxpayer should seek advice based on the taxpayers particular circumstances from an independent tax advisor.
Don Duffy, 866-211-8151
Matt Lindberg, 203-682-8214
Source: B&G Foods, Inc.Copyright Business Wire 2012