Annual report pursuant to Section 13 and 15(d)

DIVIDEND POLICY

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DIVIDEND POLICY
12 Months Ended
Dec. 31, 2018
Notes to Financial Statements  
NOTE N - DIVIDEND POLICY

On December 7, 2016, the Board of Directors of the Company approved the initiation of a dividend policy providing for the payment of a semi-annual cash dividend of $0.05 per common share ($0.10 per common share annually) commencing in 2017. The Company anticipates paying the semi-annual dividends in March and September of each year. It is anticipated that the semi-annual cash dividend will continue to be paid through March 2020 (the expiration of the Company's Remote Power Patent) provided that the Company continues to receive royalties from licensees of its Remote Power Patent. On February 9, 2018, the Board of Directors of the Company declared an initial semi-annual cash dividend of $0.05 per common share with a payment date of March 23, 2018 to all common stockholders of record as of March 9, 2018. On July 26, 2018, the Board of Directors declared a semi-annual cash dividend of $0.05 per share with a payment date of September 20, 2018 to all common stockholders of record as of September 4, 2018. On February 11, 2019, the Board of Directors of the Company, pursuant to its dividend policy, declared a semi-annual cash dividend of $0.05 per common share which is payable on March 25, 2019 to all common stockholders of record as of March 11, 2019.

 

However, if the Company is unable to overturn the District Court order of non-infringement on appeal to the U.S. Court of Appeals for the Federal Circuit with respect to its trial with Hewlett-Packard involving its Remote Power Patent (see Note J[1] hereof), or there is not an arbitration ruling that the District Court order of non-infringement does not apply to certain licensees of the Remote Power Patent, the Board of Directors may decide to modify or discontinue annual cash dividends of an aggregate of $0.10 per common share. The Company's dividend policy undergoes a periodic review by its Board of Directors and is subject to change at any time depending on the Company's earnings, financial requirements and other factors existing at the time.