May 6 (Bloomberg) — U.S. bank executives have something special in mind for their investors.
Pressed by shareholders for higher payouts and by regulators to conserve capital, some of the biggest stress- tested lenders including U.S. Bancorp and BB&T Corp. say they'll consider asking the Federal Reserve to approve one-time special dividends. The head of PNC Financial Services Group Inc. said he's already floated the idea informally.
Adding special dividends to the mix of capital payouts would finesse the conflicting demands of stockholders for income and regulators for safety. While the Fed might balk at the recurring drain that comes with a bigger regular dividend, investors are speculating that a one-time payment tied to current earnings and capital might pass.
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