LIQUIDATING DIVIDENDS Definition

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LIQUIDATING DIVIDENDS are dividends paid by a corporation that is in the process of liquidation/bankruptcy. Liquidating Dividends are paid from the capital of the corporation as opposed to earnings. Recipients of Liquidating Dividends are typically shareholders, bond holders and/or creditors. In the U.S. such dividends are generally nontaxable under the Internal Revenue Code.

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OPPORTUNISM is a condition of self-interest seeking with guile whereby one party has information that the other party does not.

ORIGINAL EQUIPMENT MANUFACTURER (OEM) is a company that builds components or systems that are used in systems or products sold by another company using the purchasing companys brand. Sometimes referred to as "private label."

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