Apollo Commercial Real Estate Finance, Inc. Announces 2020 Dividend Income Tax Treatment NYSE:ARI
NEW YORK, Jan. 27, 2021 (GLOBE NEWSWIRE) – Apollo Commercial Real Estate Finance, Inc. (the “Company” or “ARI”) (NYSE: ARI) today announced the estimated tax treatment of the company’s dividends for 2020 on its Common Stock (CUSIP # 03762U105) and on its 8.00% cumulatively redeemable perpetual perpetual preferred stock of Series B.
The federal income tax classification of the distributions for 2020 on the company’s common stock, as expected to be reported on Form 1099-DIV, is shown in the table below:
|Recording date||date of payment||Total distribution per share||Ordinary earnings per share (2)||Return on investment per share||Capital gain per share|
|December 31, 2019||January 15, 2020||$ 0.46||$ 0.1816||$ 0.2784||– –|
|March 31, 2020||April 15, 2020||$ 0.40||$ 0.1579||$ 0.2421||– –|
|06/30/2020||07/15/2020||$ 0.35||$ 0.1382||$ 0.2118||– –|
|09/30/2020||October 15, 2020||$ 0.35||$ 0.1382||$ 0.2118||– –|
|December 31, 2020 (1)||January 15, 2021||$ 0.35||– –||– –||– –|
(1) Pursuant to Section 857 (b) (9) of the Internal Revenue Code of 1986, as amended, cash distributions made on January 15, 2021 to shareholders of record as of December 31, 2020, will be treated to the extent of tax revenue and – profits of the company for 2020 as received by the shareholders on December 31, 2020. Because the Company’s total cash distributions exceeded its 2020 tax receipts and profits, any cash distributions reported in the fourth quarter of 2020 for January 2021 will be treated as a 2021 distribution for federal income tax purposes and will not be included on the 2020 Form 1099-DIV.
(2) May receive a 20% deduction from the “Qualifying Business Income Deduction” under IRC Section 199A (b) (1) (B). Shareholders are advised to consult with their own tax advisor about the specific tax treatment of the Company’s distributions.
The state income tax classification of the distributions for 2020 for the 8.00% Accumulated Redeemable Perpetual Perpetual Preferred Stock of 8.00%, as expected to be reported on Form 1099-DIV, is shown in the following table:
|Recording date||date of payment||Total distribution per share||Ordinary earnings per share||Return on investment per share||Capital gain per share|
|March 31, 2020||April 15, 2020||$ 0.50||$ 0.50||– –||– –|
|06/30/2020||07/15/2020||$ 0.50||$ 0.50||– –||– –|
|09/30/2020||October 15, 2020||$ 0.50||$ 0.50||– –||– –|
|December 31, 2020||January 15, 2021||$ 0.50||$ 0.50||– –||– –|
Shareholders are advised to consult with their own tax advisor about the specific tax treatment of the Company’s distributions.
About Apollo Commercial Real Estate Finance, Inc.
Apollo Commercial Real Estate Finance, Inc. (NYSE: ARI) is a real estate investment trust that primarily invests, purchases, invests, and manages commercial prime mortgage loans, subordinated finance, and other commercial real estate-related debt. The company is externally owned by ACREFI Management, LLC, a Delaware limited company and an indirect subsidiary of Apollo Global Management, Inc., a leading global alternative investment manager with approximately $ 433 billion in assets under management as of September 30, 2020, managed and advised.
For more information, please visit the company’s website at www.apolloreit.com.
Certain statements contained in this press release constitute forward-looking statements as that term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, by its available provided safe haven are covered. Forward-looking statements are subject to significant risks and uncertainties, many of which are difficult to predict and generally are beyond the control of the company. These forward-looking statements contain information about possible or assumed future results of the business activities, the financial position, the liquidity, the earnings position, the plans and goals of the company. In this version, the words believe, expect, anticipate, estimate, plan, continue, intend, should, can, or similar expressions used to identify forward-looking statements. Statements on the following topics, among others, may be forward-looking: macro and microeconomic effects of the COVID-19 pandemic; the severity and duration of the COVID-19 pandemic; Government agencies taking action to contain the COVID-19 pandemic or address its effects; the effects of the COVID-19 pandemic on the company’s financial position, results of operations, liquidity and capital resources; Market trends in the company’s industry, interest rates, property values, securities markets, or the general economy; the timing and amount of expected future funding of unfunded obligations; the return on equity; the return on investment; the ability to borrow to finance assets; the company’s ability to use the proceeds of its capital increase or to acquire its target assets; and risks associated with investing in real estate assets, including changes in business conditions and the general economy. For a further list and description of such risks and uncertainties, see the company’s filings with the Securities and Exchange Commission. The forward-looking statements and other risks, uncertainties and factors are based on the company’s beliefs, assumptions and expectations regarding its future performance, taking into account all information currently available to the company. Forward-looking statements are not predictions of future events. The company disclaims any intention or obligation to update or revise any forward-looking statements as a result of new information, future events or for any other reason, except as required by law.