Value Investing News

Most of the companies which leave the dividend achievers or the dividend aristocrat indexes do so because of three reasons. Firtst, they might stop raising dividends because they needed cash for acquisitions. Another reason is that companies cut distributions because of poor economic conditions or need for cash in acquisition. The third reason why companies are booted out of these elite dividend indexes is because they are being acquired or have merged with another company.

• http://www.dividendgrowthinvestor.com/2010/01/dividend-growth-stocks-are-attractive.html (268)