Northern Rock cancels dividend payment
Troubled mortgage lender Northern Rock said it would not pay shareholders the interim dividend payment it promised in July.
The mortgage lender has come under increasing criticism over the payment, worth an estimated £59 million, after the Bank of England stepped in as a lender.
It said in a statement that it would not be appropriate to make any interim dividend payment at this time.
"Accordingly the board is cancelling the interim dividend per share of 14.2p announced on July 25, 2007 which was due for payment on October 26, 2007," it said.
The bank also said it was in talks with a number of parties after it received approaches regarding a "variety of transactions", including the possibility of an offer being made for the company.
It added that no price had, as yet, been indicated and emphasised that there could be no certainty regarding the outcome of these discussions.
© Independent Television News Limited 2007. All rights reserved.
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