RLI Declares Special Dividend $5.00/Share
RLI Corp. (NYSE: RLI) – The RLI Corp. board of directors has declared an extraordinary cash dividend of $5.00 per share of common stock, which is expected to total approximately $105 million, and a regular quarterly cash dividend of $0.30 per share. Both dividends are payable on December 20, 2011 to shareholders of record as of November 30, 2011.
“Based on our strong balance sheet, cash position and confidence in the business, the Board has decided to return a portion of our excess capital to our shareholders with a special dividend,” said RLI Corp. Chairman & CEO Jonathan E. Michael. “Our top priority with excess capital is always to make strategic investments in our business, as demonstrated by the recent acquisition of CBIC. However, when our capital exceeds our needs, we return it to our shareholders.”
Since the beginning of 2007, RLI has returned nearly $600 million dollars to shareholders, including this special dividend, in the form of dividends and share repurchases. RLI's special dividends are not regular in nature, and may or may not occur in the future. Any determination to declare a special dividend, as well as the amount of any special dividend, is based on the Company's financial position, earnings, market conditions and other relevant factors at that time.
