AOL Inc. announced today that its previously announced one-time, special
cash dividend of $5.15 per share will be treated as a return of capital
for tax purposes. The one-time, special cash dividend is payable on
December 14, 2012 to shareholders of record at the close of business on
December 5, 2012.
AOL announced its intent to pay the one-time, special cash dividend on
August 27, 2012 as part of the process that will return approximately
$1.1 billion to AOL shareholders in 2012.
Shareholders are encouraged to consult their tax advisor to determine
the specific effect this distribution may have on their individual tax
position. The information above relates solely to the distribution of
the $5.15 one-time, special cash dividend.
About AOL
AOL Inc. (NYSE: AOL) is a brand company, committed to continuously
innovating, growing, and investing in brands and experiences that
inform, entertain, and connect the world. The home of a world-class
collection of premium brands, AOL creates original content that engages
audiences on a local and global scale. We help marketers connect with
these audiences through effective and engaging digital advertising
solutions.
From time to time, we post information about AOL on our investor
relations website (http://ir.aol.com)
and our official corporate blog (http://blog.aol.com).
Forward-Looking Statements
This release may contain “forward-looking statements” within the meaning
of the federal securities laws, including statements concerning
anticipated future events and expectations that are not historical
facts. Words such as “anticipates,” “estimates,” “expects,” “projects,”
“forecasts,” “intends,” “plans,” “will,” “believes” and words and terms
of similar substance used in connection with any discussion of future
operating or financial performance identify forward-looking statements.
These forward-looking statements are based on management’s current
expectations and beliefs about future events. As with any projection or
forecast, they are inherently susceptible to uncertainty and changes in
circumstances. With respect to the special cash dividend declared by the
Company, the Board may, in its sole discretion, adjust the per share
special dividend amount to reflect certain extraordinary corporate
transactions or events that may be effected prior dividend record date
that would materially affect the number of shares of common stock
outstanding as of the record date. Except as required by law, we are
under no obligation to, and expressly disclaim any obligation to, update
or alter any forward-looking statements whether as a result of such
changes, new information, subsequent events or otherwise. Various
factors could adversely affect our operations, business or financial
results in the future and cause our actual results to differ materially
from those contained in the forward-looking statements, including those
factors discussed in detail in the “Risk Factors” section contained in
our Annual Report on Form 10-K for the year ended December 31, 2011 (the
“Annual Report”), filed with the SEC. In addition, we operate a web
services company in a highly competitive, rapidly changing and consumer-
and technology-driven industry. This industry is affected by government
regulation, economic, strategic, political and social conditions,
consumer response to new and existing products and services,
technological developments and, particularly in view of new
technologies, the continued ability to protect intellectual property
rights. Our actual results could differ materially from management’s
expectations because of changes in such factors. Achieving our business
and financial objectives, including growth in operations and maintenance
of a strong balance sheet and liquidity position, could be adversely
affected by the factors discussed or referenced under the “Risk Factors”
section contained in the Annual Report as well as, among other things:
1) our ability to pay the special cash dividend, including but not
limited to the timing and amounts paid pursuant to the dividend; 2)
fluctuations in the market price of our shares; 3) changes in our plans,
strategies and intentions; 4) the impact of significant acquisitions,
dispositions and other similar transactions; 5) our ability to attract
and retain key employees; 6) any negative unintended consequences of
cost reductions, restructuring actions or similar efforts, including
with respect to any associated savings, charges or other amounts; 7)
market adoption of new products and services; 8) asset impairments; 9)
decreased liquidity in the capital markets; 10) our ability to access
the capital markets for debt securities or bank financings; and 11) the
impact of “cyber-warfare” or terrorist acts and hostilities or of
security breaches or privacy concerns.
