{"id":32254,"date":"2006-08-29T21:07:14","date_gmt":"2006-08-30T01:07:14","guid":{"rendered":"http:\/\/www.prefblog.com\/?p=93"},"modified":"2006-08-29T21:07:14","modified_gmt":"2006-08-30T01:07:14","slug":"ryprs-2","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=32254","title":{"rendered":"RY.PR.S"},"content":{"rendered":"<p>RBC announced on August 25 that <a href=\"http:\/\/micro.newswire.ca\/release.cgi?rkey=1408258407&#038;view=17167-0&#038;Start=0\">this issue will be redeemed<\/a> at a price of $26.00 on October 6.<\/p>\n<p>The total issue size is 10-million shares, representing $250-million in bank capital.<\/p>\n<p>It was paying $1.525 (issue yield = 6.1%) and its first day of trading was June 26, 2001.<\/p>\n<p>The call schedule was:<\/p>\n<ul>\n<li>Redemption\u00a0\u00a0\u00a0\u00a0\u00a0 2006-08-24\u00a0\u00a0\u00a0\u00a0\u00a0 2007-08-23\u00a0 26.000000<\/li>\n<li>Redemption\u00a0\u00a0\u00a0\u00a0\u00a0 2007-08-24\u00a0\u00a0\u00a0\u00a0\u00a0 2008-08-23\u00a0 25.750000<\/li>\n<li>Redemption\u00a0\u00a0\u00a0\u00a0\u00a0 2008-08-24\u00a0\u00a0\u00a0\u00a0\u00a0 2009-08-23\u00a0 25.500000<\/li>\n<li>Redemption\u00a0\u00a0\u00a0\u00a0\u00a0 2009-08-24\u00a0\u00a0\u00a0\u00a0\u00a0 2010-08-23\u00a0 25.250000<\/li>\n<li>Redemption\u00a0\u00a0\u00a0\u00a0\u00a0 2010-08-24\u00a0\u00a0\u00a0\u00a0\u00a0 2999-12-29\u00a0 25.000000<\/li>\n<\/ul>\n<p>Although they could have saved themselves $0.25 annually on the call price by waiting, Royal would have had to have paid the $1.525 dividend at the same time, for a net cost of $1.275. Since their recent RY.PR.A issue pays $1.1125 and RY.PR.B pays $1.175, it&#8217;s not too surprising that such an expensive issue is being called now.<\/p>\n<p><b>Update 2006-09-27<\/b> : See also the <a href=\"http:\/\/www.prefblog.com\/?p=68\">August 11, 2006 Comment<\/a>.\n<\/p>\n<p><!--a873027bcc5fbd663ff6c2d591e1dcb9--><\/p>\n","protected":false},"excerpt":{"rendered":"<p>RBC announced on August 25 that this issue will be redeemed at a price of $26.00 on October 6. The total issue size is 10-million shares, representing $250-million in bank capital. It was paying $1.525 &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[],"class_list":["post-32254","post","type-post","status-publish","format-standard","hentry","category-issue-comments"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/32254","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=32254"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/32254\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=32254"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=32254"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=32254"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}