SlideShare una empresa de Scribd logo
1 de 1
Descargar para leer sin conexión
DOLE FOOD COMPANY, INC.
31355 Oak Crest Drive
Westlake Village, California 91361
                                                                                                       January 8, 1996


                                  IMPORTANT TAX INFORMATION REGARDING
                             THE DISTRIBUTION OF CASTLE & COOKE, INC. SHARES

         The purpose of this notice is to provide important information on how to determine your tax basis in the
shares of Castle & Cooke, Inc. (ÒCastleÓ) you received in the December 28, 1995 distribution (ÒDistributionÓ) and the
effect of the Distribution on the tax basis of your Dole Food Company, Inc. (ÒDoleÓ) common stock. The discussion
below is based on DoleÕs determination that it did not have current earnings and profits for 1995 or accumulated
earnings and profits as of the date of the Distribution. If that determination is subsequently proven to be incorrect,
then you should refer to the Information Statement dated December 15, 1995 for the tax treatment of the
Distribution.

        Generally, you will not be required to recognize gain or loss for federal income tax purposes with respect to
the shares of Castle common stock you received in the Distribution. There are two exceptions to this general
rule: 1) You will have gain to the extent the fair market value of the Castle common stock exceeds y our tax basis
in your Dole common stock. 2) You will recognize a very slight amount of gain if you were allocated a fractional
Castle share (see ÒFractional ShareÓ below).

        The following is intended to help you determine the tax basis of your Dole and Castle shares as a result of
the Distribution. The tax basis is important because you will use it to measure the amount of taxable gain or loss 1)
if you sell your Dole or Castle shares and 2) with respect to any cash you receive on account of any fractional
Castle share.

        Shareholders should consult their own tax advisors with respect to their particular circumstances and
with respect to the effects of any state, local or foreign tax laws to which they may be subject.

Tax Basis of Castle Shares

        Your tax basis in the Castle shares is the fair market value of the shares on the date of the Distribution. Dole
believes the fair market value of the Castle shares on the date of Distribution is $15.65 per share, and such value
will be used by Dole for Internal Revenue Service information reporting purposes.

Fractional Share

        You have received one-third (.3333) of a Castle share for each Dole share you owned. The number .3333
as applied to your Dole shares is called the ÒDistribution Ratio.Ó The Distribution Ratio will result in the allocation
of a .3333 or a .6667 fractional Castle share to many shareholders. Fractional shares were aggregated and sold
the public market by The First National Bank of Boston (the ÒDistribution AgentÓ) and the aggregate net cash
proceeds were distributed ratably to those shareholders entitled to fractional interests. If you were allocated a
.3333 or a .6667 fractional Castle share, you received in lieu thereof a cash payment of $5.26 or $10.51,
respectively, which represented the actual weighted average selling price of the fractional Castle shares.
Since the tax basis of the Castle shares is $15.65 per whole share, you will recognize short-term capital gain of
$.04 ($5.26 - $5.22) with respect to the .3333 fractional Castle share and short-term capital gain of $.08 ($10.51 -
$10.43) with respect to the .6667 fractional Castle share.

Reduction of Tax Basis in Dole Shares


       Your tax basis in each Dole share must be reduced by $5.22 ($15.65 ¸ 3) to reflect the fair market value of
the Castle shares received.

Holding Period

       For federal tax purposes the holding period for your Castle shares begins on the date of the Distribution.
The holding period is important because it is used to determine whether the gain or loss on the eventual sale of
your Castle shares is long-term or short-term capital gain or loss (assuming your shares are treated as capital assets).

Más contenido relacionado

Similar a dole food div95a

dole food private_tax_info
dole food private_tax_infodole food private_tax_info
dole food private_tax_info
finance32
 
Writing clip_capital gains_pz
Writing clip_capital gains_pzWriting clip_capital gains_pz
Writing clip_capital gains_pz
Pamela Zuber
 
Corporate Taxation – MBA 7295 Business Structure Ass.docx
Corporate Taxation – MBA 7295 Business Structure Ass.docxCorporate Taxation – MBA 7295 Business Structure Ass.docx
Corporate Taxation – MBA 7295 Business Structure Ass.docx
vanesaburnand
 
Private client compass FINAL
Private client compass FINALPrivate client compass FINAL
Private client compass FINAL
Paul Harris
 

Similar a dole food div95a (9)

dole food private_tax_info
dole food private_tax_infodole food private_tax_info
dole food private_tax_info
 
IRS Pub 523
IRS Pub 523IRS Pub 523
IRS Pub 523
 
Writing clip_capital gains_pz
Writing clip_capital gains_pzWriting clip_capital gains_pz
Writing clip_capital gains_pz
 
ABCs defense of capital tax charity 22aug2013
ABCs defense of capital tax charity 22aug2013ABCs defense of capital tax charity 22aug2013
ABCs defense of capital tax charity 22aug2013
 
Corporate Taxation – MBA 7295 Business Structure Ass.docx
Corporate Taxation – MBA 7295 Business Structure Ass.docxCorporate Taxation – MBA 7295 Business Structure Ass.docx
Corporate Taxation – MBA 7295 Business Structure Ass.docx
 
Estate planning - corporations
Estate planning -  corporationsEstate planning -  corporations
Estate planning - corporations
 
Best defense of capital tax charity 15 aug 2013
Best defense of capital tax charity 15 aug 2013Best defense of capital tax charity 15 aug 2013
Best defense of capital tax charity 15 aug 2013
 
Chapter 8
Chapter 8Chapter 8
Chapter 8
 
Private client compass FINAL
Private client compass FINALPrivate client compass FINAL
Private client compass FINAL
 

Más de finance32

dole food div96
dole food div96dole food div96
dole food div96
finance32
 
dole food div97
dole food div97dole food div97
dole food div97
finance32
 
dole food div98
dole food div98dole food div98
dole food div98
finance32
 
dole food div99
dole food div99dole food div99
dole food div99
finance32
 
dole food div2000
dole food div2000dole food div2000
dole food div2000
finance32
 
dole food div01
dole food div01dole food div01
dole food div01
finance32
 
dole food div02
dole food div02dole food div02
dole food div02
finance32
 
Dole1995 annual
Dole1995 annualDole1995 annual
Dole1995 annual
finance32
 
Dole 1996 annual
Dole 1996 annualDole 1996 annual
Dole 1996 annual
finance32
 
Dole 1997 annual
Dole 1997 annualDole 1997 annual
Dole 1997 annual
finance32
 
Dole1998 annual
Dole1998 annualDole1998 annual
Dole1998 annual
finance32
 
Dole 99 annrpt
Dole 99 annrptDole 99 annrpt
Dole 99 annrpt
finance32
 
Dole 2000 Annual
Dole 2000 AnnualDole 2000 Annual
Dole 2000 Annual
finance32
 
Dole 2001 Annual
Dole 2001 AnnualDole 2001 Annual
Dole 2001 Annual
finance32
 
Dole 2002 Annual
Dole 2002 AnnualDole 2002 Annual
Dole 2002 Annual
finance32
 
Dole 2003 Annual
Dole 2003 AnnualDole 2003 Annual
Dole 2003 Annual
finance32
 
yahoo 08EarningsPresentationFINAL
yahoo 08EarningsPresentationFINALyahoo 08EarningsPresentationFINAL
yahoo 08EarningsPresentationFINAL
finance32
 
yahoo Q1FY08PressReleaseFinal.
yahoo Q1FY08PressReleaseFinal.yahoo Q1FY08PressReleaseFinal.
yahoo Q1FY08PressReleaseFinal.
finance32
 
yahoo =2Q08_Earnings_Presentation
yahoo =2Q08_Earnings_Presentationyahoo =2Q08_Earnings_Presentation
yahoo =2Q08_Earnings_Presentation
finance32
 
yahoo Q2_2008_PR
yahoo Q2_2008_PRyahoo Q2_2008_PR
yahoo Q2_2008_PR
finance32
 

Más de finance32 (20)

dole food div96
dole food div96dole food div96
dole food div96
 
dole food div97
dole food div97dole food div97
dole food div97
 
dole food div98
dole food div98dole food div98
dole food div98
 
dole food div99
dole food div99dole food div99
dole food div99
 
dole food div2000
dole food div2000dole food div2000
dole food div2000
 
dole food div01
dole food div01dole food div01
dole food div01
 
dole food div02
dole food div02dole food div02
dole food div02
 
Dole1995 annual
Dole1995 annualDole1995 annual
Dole1995 annual
 
Dole 1996 annual
Dole 1996 annualDole 1996 annual
Dole 1996 annual
 
Dole 1997 annual
Dole 1997 annualDole 1997 annual
Dole 1997 annual
 
Dole1998 annual
Dole1998 annualDole1998 annual
Dole1998 annual
 
Dole 99 annrpt
Dole 99 annrptDole 99 annrpt
Dole 99 annrpt
 
Dole 2000 Annual
Dole 2000 AnnualDole 2000 Annual
Dole 2000 Annual
 
Dole 2001 Annual
Dole 2001 AnnualDole 2001 Annual
Dole 2001 Annual
 
Dole 2002 Annual
Dole 2002 AnnualDole 2002 Annual
Dole 2002 Annual
 
Dole 2003 Annual
Dole 2003 AnnualDole 2003 Annual
Dole 2003 Annual
 
yahoo 08EarningsPresentationFINAL
yahoo 08EarningsPresentationFINALyahoo 08EarningsPresentationFINAL
yahoo 08EarningsPresentationFINAL
 
yahoo Q1FY08PressReleaseFinal.
yahoo Q1FY08PressReleaseFinal.yahoo Q1FY08PressReleaseFinal.
yahoo Q1FY08PressReleaseFinal.
 
yahoo =2Q08_Earnings_Presentation
yahoo =2Q08_Earnings_Presentationyahoo =2Q08_Earnings_Presentation
yahoo =2Q08_Earnings_Presentation
 
yahoo Q2_2008_PR
yahoo Q2_2008_PRyahoo Q2_2008_PR
yahoo Q2_2008_PR
 

Último

+97470301568>>buy weed in qatar,buy thc oil in qatar doha>>buy cannabis oil i...
+97470301568>>buy weed in qatar,buy thc oil in qatar doha>>buy cannabis oil i...+97470301568>>buy weed in qatar,buy thc oil in qatar doha>>buy cannabis oil i...
+97470301568>>buy weed in qatar,buy thc oil in qatar doha>>buy cannabis oil i...
Health
 
+971565801893>>SAFE ORIGINAL ABORTION PILLS FOR SALE IN DUBAI,RAK CITY,ABUDHA...
+971565801893>>SAFE ORIGINAL ABORTION PILLS FOR SALE IN DUBAI,RAK CITY,ABUDHA...+971565801893>>SAFE ORIGINAL ABORTION PILLS FOR SALE IN DUBAI,RAK CITY,ABUDHA...
+971565801893>>SAFE ORIGINAL ABORTION PILLS FOR SALE IN DUBAI,RAK CITY,ABUDHA...
Health
 
FOREX FUNDAMENTALS: A BEGINNER'S GUIDE.pdf
FOREX FUNDAMENTALS: A BEGINNER'S GUIDE.pdfFOREX FUNDAMENTALS: A BEGINNER'S GUIDE.pdf
FOREX FUNDAMENTALS: A BEGINNER'S GUIDE.pdf
Cocity Enterprises
 
abortion pills in Riyadh Saudi Arabia (+919707899604)cytotec pills in dammam
abortion pills in Riyadh Saudi Arabia (+919707899604)cytotec pills in dammamabortion pills in Riyadh Saudi Arabia (+919707899604)cytotec pills in dammam
abortion pills in Riyadh Saudi Arabia (+919707899604)cytotec pills in dammam
samsungultra782445
 

Último (20)

Famous Kala Jadu, Kala ilam specialist in USA and Bangali Amil baba in Saudi ...
Famous Kala Jadu, Kala ilam specialist in USA and Bangali Amil baba in Saudi ...Famous Kala Jadu, Kala ilam specialist in USA and Bangali Amil baba in Saudi ...
Famous Kala Jadu, Kala ilam specialist in USA and Bangali Amil baba in Saudi ...
 
+97470301568>>buy weed in qatar,buy thc oil in qatar doha>>buy cannabis oil i...
+97470301568>>buy weed in qatar,buy thc oil in qatar doha>>buy cannabis oil i...+97470301568>>buy weed in qatar,buy thc oil in qatar doha>>buy cannabis oil i...
+97470301568>>buy weed in qatar,buy thc oil in qatar doha>>buy cannabis oil i...
 
Explore Dual Citizenship in Africa | Citizenship Benefits & Requirements
Explore Dual Citizenship in Africa | Citizenship Benefits & RequirementsExplore Dual Citizenship in Africa | Citizenship Benefits & Requirements
Explore Dual Citizenship in Africa | Citizenship Benefits & Requirements
 
Certified Kala Jadu, Black magic specialist in Rawalpindi and Bangali Amil ba...
Certified Kala Jadu, Black magic specialist in Rawalpindi and Bangali Amil ba...Certified Kala Jadu, Black magic specialist in Rawalpindi and Bangali Amil ba...
Certified Kala Jadu, Black magic specialist in Rawalpindi and Bangali Amil ba...
 
Seeman_Fiintouch_LLP_Newsletter_May-2024.pdf
Seeman_Fiintouch_LLP_Newsletter_May-2024.pdfSeeman_Fiintouch_LLP_Newsletter_May-2024.pdf
Seeman_Fiintouch_LLP_Newsletter_May-2024.pdf
 
Q1 2024 Conference Call Presentation vF.pdf
Q1 2024 Conference Call Presentation vF.pdfQ1 2024 Conference Call Presentation vF.pdf
Q1 2024 Conference Call Presentation vF.pdf
 
+971565801893>>SAFE ORIGINAL ABORTION PILLS FOR SALE IN DUBAI,RAK CITY,ABUDHA...
+971565801893>>SAFE ORIGINAL ABORTION PILLS FOR SALE IN DUBAI,RAK CITY,ABUDHA...+971565801893>>SAFE ORIGINAL ABORTION PILLS FOR SALE IN DUBAI,RAK CITY,ABUDHA...
+971565801893>>SAFE ORIGINAL ABORTION PILLS FOR SALE IN DUBAI,RAK CITY,ABUDHA...
 
fundamentals of corporate finance 11th canadian edition test bank.docx
fundamentals of corporate finance 11th canadian edition test bank.docxfundamentals of corporate finance 11th canadian edition test bank.docx
fundamentals of corporate finance 11th canadian edition test bank.docx
 
FOREX FUNDAMENTALS: A BEGINNER'S GUIDE.pdf
FOREX FUNDAMENTALS: A BEGINNER'S GUIDE.pdfFOREX FUNDAMENTALS: A BEGINNER'S GUIDE.pdf
FOREX FUNDAMENTALS: A BEGINNER'S GUIDE.pdf
 
Collecting banker, Capacity of collecting Banker, conditions under section 13...
Collecting banker, Capacity of collecting Banker, conditions under section 13...Collecting banker, Capacity of collecting Banker, conditions under section 13...
Collecting banker, Capacity of collecting Banker, conditions under section 13...
 
Technology industry / Finnish economic outlook
Technology industry / Finnish economic outlookTechnology industry / Finnish economic outlook
Technology industry / Finnish economic outlook
 
cost-volume-profit analysis.ppt(managerial accounting).pptx
cost-volume-profit analysis.ppt(managerial accounting).pptxcost-volume-profit analysis.ppt(managerial accounting).pptx
cost-volume-profit analysis.ppt(managerial accounting).pptx
 
Responsible Finance Principles and Implication
Responsible Finance Principles and ImplicationResponsible Finance Principles and Implication
Responsible Finance Principles and Implication
 
abortion pills in Riyadh Saudi Arabia (+919707899604)cytotec pills in dammam
abortion pills in Riyadh Saudi Arabia (+919707899604)cytotec pills in dammamabortion pills in Riyadh Saudi Arabia (+919707899604)cytotec pills in dammam
abortion pills in Riyadh Saudi Arabia (+919707899604)cytotec pills in dammam
 
Mahendragarh Escorts 🥰 8617370543 Call Girls Offer VIP Hot Girls
Mahendragarh Escorts 🥰 8617370543 Call Girls Offer VIP Hot GirlsMahendragarh Escorts 🥰 8617370543 Call Girls Offer VIP Hot Girls
Mahendragarh Escorts 🥰 8617370543 Call Girls Offer VIP Hot Girls
 
logistics industry development power point ppt.pdf
logistics industry development power point ppt.pdflogistics industry development power point ppt.pdf
logistics industry development power point ppt.pdf
 
劳伦森大学毕业证
劳伦森大学毕业证劳伦森大学毕业证
劳伦森大学毕业证
 
Webinar on E-Invoicing for Fintech Belgium
Webinar on E-Invoicing for Fintech BelgiumWebinar on E-Invoicing for Fintech Belgium
Webinar on E-Invoicing for Fintech Belgium
 
Shrambal_Distributors_Newsletter_May-2024.pdf
Shrambal_Distributors_Newsletter_May-2024.pdfShrambal_Distributors_Newsletter_May-2024.pdf
Shrambal_Distributors_Newsletter_May-2024.pdf
 
Famous No1 Amil Baba Love marriage Astrologer Specialist Expert In Pakistan a...
Famous No1 Amil Baba Love marriage Astrologer Specialist Expert In Pakistan a...Famous No1 Amil Baba Love marriage Astrologer Specialist Expert In Pakistan a...
Famous No1 Amil Baba Love marriage Astrologer Specialist Expert In Pakistan a...
 

dole food div95a

  • 1. DOLE FOOD COMPANY, INC. 31355 Oak Crest Drive Westlake Village, California 91361 January 8, 1996 IMPORTANT TAX INFORMATION REGARDING THE DISTRIBUTION OF CASTLE & COOKE, INC. SHARES The purpose of this notice is to provide important information on how to determine your tax basis in the shares of Castle & Cooke, Inc. (ÒCastleÓ) you received in the December 28, 1995 distribution (ÒDistributionÓ) and the effect of the Distribution on the tax basis of your Dole Food Company, Inc. (ÒDoleÓ) common stock. The discussion below is based on DoleÕs determination that it did not have current earnings and profits for 1995 or accumulated earnings and profits as of the date of the Distribution. If that determination is subsequently proven to be incorrect, then you should refer to the Information Statement dated December 15, 1995 for the tax treatment of the Distribution. Generally, you will not be required to recognize gain or loss for federal income tax purposes with respect to the shares of Castle common stock you received in the Distribution. There are two exceptions to this general rule: 1) You will have gain to the extent the fair market value of the Castle common stock exceeds y our tax basis in your Dole common stock. 2) You will recognize a very slight amount of gain if you were allocated a fractional Castle share (see ÒFractional ShareÓ below). The following is intended to help you determine the tax basis of your Dole and Castle shares as a result of the Distribution. The tax basis is important because you will use it to measure the amount of taxable gain or loss 1) if you sell your Dole or Castle shares and 2) with respect to any cash you receive on account of any fractional Castle share. Shareholders should consult their own tax advisors with respect to their particular circumstances and with respect to the effects of any state, local or foreign tax laws to which they may be subject. Tax Basis of Castle Shares Your tax basis in the Castle shares is the fair market value of the shares on the date of the Distribution. Dole believes the fair market value of the Castle shares on the date of Distribution is $15.65 per share, and such value will be used by Dole for Internal Revenue Service information reporting purposes. Fractional Share You have received one-third (.3333) of a Castle share for each Dole share you owned. The number .3333 as applied to your Dole shares is called the ÒDistribution Ratio.Ó The Distribution Ratio will result in the allocation of a .3333 or a .6667 fractional Castle share to many shareholders. Fractional shares were aggregated and sold the public market by The First National Bank of Boston (the ÒDistribution AgentÓ) and the aggregate net cash proceeds were distributed ratably to those shareholders entitled to fractional interests. If you were allocated a .3333 or a .6667 fractional Castle share, you received in lieu thereof a cash payment of $5.26 or $10.51, respectively, which represented the actual weighted average selling price of the fractional Castle shares. Since the tax basis of the Castle shares is $15.65 per whole share, you will recognize short-term capital gain of $.04 ($5.26 - $5.22) with respect to the .3333 fractional Castle share and short-term capital gain of $.08 ($10.51 - $10.43) with respect to the .6667 fractional Castle share. Reduction of Tax Basis in Dole Shares Your tax basis in each Dole share must be reduced by $5.22 ($15.65 ¸ 3) to reflect the fair market value of the Castle shares received. Holding Period For federal tax purposes the holding period for your Castle shares begins on the date of the Distribution. The holding period is important because it is used to determine whether the gain or loss on the eventual sale of your Castle shares is long-term or short-term capital gain or loss (assuming your shares are treated as capital assets).