Dividend Policy

Company is - CSX Corporation (CSX)

1) As the companys financial manager, would you recommend to the board of directors that the firm adopt as policy a stable dividend payment per share or a stable dividend-payout ratio?

2) Your company has a dividend payout ratio. What is the amount of the dividends per share?

3) What is financial signalling as it relates to cash dividends, stock dividends/splits, and stock repurchase.

4) Given this firms characteristics today, how would you recommend that they return cash to stockholders (assuming that they have excess cash)?

5) Given this dividend policy and the current cash balance of this firm, would you push the firm to change its dividend policy (return more or less cash to its owners)?

6) What would be the path you would choose if you were hired to enhance value at this firm?