HAYWARD, Calif.--(BUSINESS WIRE)--
Armanino Foods of Distinction, Inc. (OTC Pink: AMNF) today announced that its board of directors have declared a quarterly cash dividend of $0.0175 per share. This level is a decrease of approximately 36% from the prior regular quarterly dividend amount of $0.0275. The dividend will be payable to shareholders of record on July 1, 2020 and will be disbursed on or about July 24, 2020. This is the Company’s 80th consecutive quarterly dividend. In addition, the Company has had ten special dividends.
Douglas R. Nichols, Chairman of the board stated, “As previously disclosed, we expect to report a loss for our second quarter ending June 30, 2020; however, thanks to the strength of our balance sheet, Armanino Foods will continue our proud tradition of rewarding our shareholders with a quarterly dividend payment despite the adverse effect that the COVID 19 pandemic has had on our business in Q2. Because we are seeing sales continue to improve and have implemented many cost savings measures since the beginning of the pandemic, we are comfortable with paying a reduced dividend, and are confident of our financial position even if a second wave of the virus emerges. The $320,000 savings from the dividend reduction will be utilized to payoff an equipment loan with a balance that closely approximates the dividend savings. That loan was otherwise scheduled to mature at the end of 2022. This strategy, coupled with our cost reductions across all functions, enables us to reinvest in our core business and strategic growth initiatives. Due to unprecedented uncertainty regarding the COVID 19 pandemic, we remain guarded on the outlook of our financial performance for the remainder of this year. It is the board’s intention to reinstate the dividend to $0.0275 per share as soon as business conditions return to historic levels.”
Armanino Foods of Distinction, Inc. is an international food company that manufactures and markets frozen Italian specialty food items such as pestos, sauces and filled pastas to the foodservice, retail, and industrial markets. In addition to a classic Basil Pesto Armanino offers other flavors such as Cilantro, Dried Tomato & Garlic, Roasted Red Bell Pepper, Southwest Chipotle, Artichoke, Roasted Garlic, Light Basil Pesto, Chimichurri, Harissa, Bolognese, Alfredo sauce, Creamy Garlic, and Romesco. Armanino’s organic line includes classic Basil Pesto. Armanino Foods also offers cheese shakers, frozen pastas, and meatballs.
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