Equalizing Dividend
An additional dividend paid to eligible stockholders when their divided income is reduced due to a change the board of directors makes to the dividend payment schedule.
Investopedia Commentary
Equalizing dividends are paid to shareholders to compensate them for any dividend income lost from the change.
Related Links
How and Why Do Companies Pay Dividends?
See also: Board of Directors - BOD, Declaration Date, Dividend, Dividend Policy, Holder of Record, Stockholder's Equity
equalizing dividend