Hi everyone, sad news to share with you today, my portfolio received its first dividend cut of the year. The Keg Royalties Income Fund (ticker: KEG.UN) has cut the dividend by 30%, I’m not sure when this was announced as I only found out about it when I received the distribution last week. Being a dine in restaurant chain this news isn’t really shocking considering we are in a pandemic and all of the lockdowns throughout Canada. Going into 2020 The Keg had an annual distribution of $1.135 per share that was paid quarterly at $0.0946 per share monthly. When the pandemic hit and the lockdowns began last March & April the company cut its distribution to $0.035 per share monthly or $0.42 annually. In late summer of 2020 with some customers allowed to dine in at locations the company was about to increase the distribution to $0.05 per share monthly and that began with the September distribution that was paid in October.
So now the distribution is back down to $0.035 per share monthly. I currently own 307 shares and with this news I will be losing $4.60 per month.
I’m plan on continuing to hold the stock for now. Last year during the pandemic when they could allow a certain number of customers in their restaurants they raised the dividend. Later this year I would like to see what happens with the Canadian vaccination program and maybe some more restrictions will be lifted.
Thanks
Matthew
All About The Dividends 
Bummer! It always hurts to lose a little income , but the pandemic takes no prisoners! Hopefully they’ll be back to regular business before long
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It definitely hurts losing income but this was expected. I’m hoping they will be able to raise in once the restrictions ease up like they did last year.
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