Prudential 2003 Annual Report Download - page 177

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MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS
The Common Stock was issued to eligible policyholders in Prudential Insurance’s demutualization and sold to
investors in Prudential Financial’s initial public offering. The Common Stock began trading on the New York Stock
Exchange under the symbol “PRU” on December 13, 2001. The following table presents the high and low closing
prices for the Common Stock on the New York Stock Exchange during the periods indicated and the dividends
declared per share during such periods:
High Low Dividends
2003:
Fourth Quarter ................................................................................. $42.21 $36.00 $0.50
Third Quarter ................................................................................. 38.26 33.51 —
Second Quarter ................................................................................ 34.73 29.28 —
First Quarter .................................................................................. 34.48 27.03 —
2002:
Fourth Quarter ................................................................................. $32.10 $25.50 $0.40
Third Quarter ................................................................................. 32.99 27.35 —
Second Quarter ................................................................................ 35.75 31.05 —
First Quarter .................................................................................. 32.09 30.05 —
On February 27, 2004, there were 3,366,793 registered holders of record for the Common Stock and 532.9 million
shares outstanding. The closing price of the Common Stock on the New York Stock Exchange on February 27, 2004,
was $46.39.
The Class B Stock was issued to institutional investors (two subsidiaries of American International Group, Inc.
and Pacific Life Corp.) in a private placement pursuant to Section 4(2) of the Securities Act of 1933 on the date of
demutualization. There is no established public trading market for the Class B Stock. During the fourth quarter of 2002
and 2003, Prudential Financial paid an annual dividend of $9.625 per share of Class B Stock. On February 27, 2004,
there were 3 holders of record for the Class B Stock and 2.0 million shares outstanding.
Prudential Financial’s Board of Directors currently intends to continue to declare and pay annual dividends on the
Common Stock and Class B Stock. Future dividend decisions will be based on, and affected by, a number of factors
including the financial performance of the Financial Services Businesses and Closed Block Business for the Common
Stock and Class B Stock, respectively; our overall financial condition, results of operations, cash requirements and
future prospects; regulatory restrictions on the payment of dividends by Prudential Financial’s subsidiaries; and such
other factors as the Board of Directors may deem relevant. Dividends payable by Prudential Financial are limited to the
amount that would be legally available for payment under New Jersey corporate law. For additional information on
dividends and related regulatory restrictions, see “Management’s Discussion and Analysis of Financial Condition and
Results of Operations—Liquidity and Capital Resources” and Note 12 to the Consolidated Financial Statements
included in this Annual Report.
Prudential Financial 2003 Annual Report 175