C$ unless otherwise stated
TSX/NYSE/PSE: MFC
SEHK:945
TORONTO, May 24, 2016 /CNW/ - Manulife Financial
Corporation ("Manulife") today announced the applicable dividend
rates for its Non-cumulative Rate Reset Class 1 Shares Series 3
(the "Series 3 Preferred Shares") (TSX: MFC.PR.F) and
Non-cumulative Floating Rate Class 1 Shares Series 4 (the "Series 4
Preferred Shares").
With respect to any Series 3 Preferred Shares that remain
outstanding after June 20, 2016,
commencing as of such date, holders thereof will be entitled to
receive fixed rate non-cumulative preferential cash dividends on a
quarterly basis, as and when declared by the Board of Directors of
Manulife and subject to the provisions of the Insurance
Companies Act (Canada). The
dividend rate for the five-year period commencing on June 20, 2016, and ending on June 19, 2021, will be 2.17800% per annum or
$0.136125 per share per quarter,
being equal to the sum of the five-year Government of Canada bond yield as at May 24, 2016, plus 1.41%, as determined in
accordance with the terms of the Series 3 Preferred Shares.
With respect to any Series 4 Preferred Shares that may be issued
on June 20, 2016 in connection with
the conversion of the Series 3 Preferred Shares into the Series 4
Preferred Shares, holders thereof will be entitled to receive
floating rate non-cumulative preferential cash dividends on a
quarterly basis, calculated on the basis of actual number of days
elapsed in each quarterly floating rate period divided by 365, as
and when declared by the Board of Directors of Manulife and subject
to the provisions of the Insurance Companies Act
(Canada). The dividend rate for
the three-month period commencing on June
20, 2016, and ending on September 19,
2016, will be 0.49125% (1.94900% on an annualized basis) or
$0.122814 per share, being equal to
the sum of the three-month Government of Canada Treasury bill yield
as at May 24, 2016, plus 1.41%, as
determined in accordance with the terms of the Series 4 Preferred
Shares.
Beneficial owners of Series 3 Preferred Shares who wish to
exercise their right of conversion should instruct their broker or
other nominee to exercise such right before 5:00 p.m. (EDT) on June 6,
2016. The news release announcing such conversion right was
issued on May 9, 2016 and can be
viewed on SEDAR or Manulife's website. Conversion inquiries should
be directed to Manulife's Registrar and Transfer Agent, CST Trust
Company, at 1-800-387-0825.
The Toronto Stock Exchange ("TSX") has conditionally approved
the listing of the Series 4 Preferred Shares effective upon
conversion. Listing of the Series 4 Preferred Shares is subject to
Manulife fulfilling all the listing requirements of the TSX and,
upon approval, the Series 4 Preferred Shares will be listed on the
TSX under the trading symbol "MFC.PR.P".
The Series 3 Preferred Shares and the Series 4 Preferred Shares
have not been and will not be registered in the United States under the United States
Securities Act of 1933, as amended (the "Securities Act"), or the
securities laws of any state of the
United States and may not be offered, sold or delivered,
directly or indirectly in the United
States or to, or for the account or benefit of, a "U.S.
person" (as defined in Regulation S under the Securities Act)
absent registration or an applicable exemption from such
registration requirements. This press release does not constitute
an offer to sell or a solicitation to buy securities in
the United States and any public
offering of the securities in the United
States must be made by means of a prospectus.
About Manulife
Manulife Financial Corporation is a leading international
financial services group providing forward-thinking solutions to
help people with their big financial decisions. We operate as
John Hancock in the United States, and Manulife
elsewhere. We provide financial advice, insurance and wealth
and asset management solutions for individuals, groups and
institutions. At the end of 2015, we had approximately 34,000
employees, 63,000 agents, and thousands of distribution partners,
serving 20 million customers. At the end of March 2016, we had $904
billion (US$697 billion) in
assets under management and administration, and in the previous 12
months we made more than $24.9
billion in benefits, interest and other payments to our
customers. Our principal operations are in Asia, Canada
and the United States where we
have served customers for more than 100 years. With our global
headquarters in Toronto, Canada,
we trade as 'MFC' on the Toronto,
New York, and the Philippine stock
exchanges and under '945' in Hong
Kong. Follow Manulife on Twitter @ManulifeNews or visit
www.manulife.com or www.johnhancock.com.
SOURCE Manulife Financial Corporation