Quote:
Originally Posted by fishtank
BCE is paying out cover 8% on dividends, don’t know if they can keep paying out at this rate , they have a debt load of $36.2 billion .
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There are a lot of levers they can pull to maintain the dividend. Expense cuts, sales of non-core assets, reduced capital expenditures, increaded debt, cancelltion od the drip program and many more. They can even materially reduce the rate they have been increasing the dividend payot which they just did again a couple of months ago. For one of the big three to eliminate or even cut the dividend would be self inflicted suicide. The board and management would be removed en mass. Their shares would be shunned by all buyers.