CLEVELAND–(BUSINESS WIRE)–TFS Financial Corporation (Nasdaq: TFSL), (the “Company”), the holding
company for Third Federal Savings and Loan Association of Cleveland,
announced that Third Federal Savings and Loan Association of Cleveland,
MHC, (the “MHC”), the mutual holding company that owns 81.1% of the
Company’s outstanding common stock, will hold a special meeting of its
members. The meeting will include a vote on a proposal to waive the
MHC’s right to receive quarterly dividends totaling up to $1.10 per
share that may be declared by the Company during the 12-month period
following the member vote. All dividends on the Company’s common stock
are declared at the discretion of the Company’s Board of Directors. The
special meeting will be held on July 16, 2019.
Interim final regulations of the Board of Governors of the Federal
Reserve System (the “Federal Reserve”) require that the MHC annually
solicit the vote of its members to approve the proposed dividend waivers
by the MHC. The MHC previously received the approval of its members at a
July 11, 2018 meeting to waive the MHC’s right to receive quarterly
dividends declared by the Company during the 12-month period ending July
11, 2019.
“In 1938, when my parents started Third Federal, they did so with the
mission of helping people achieve the American dream of homeownership
and financial security and to support the communities we serve,” said
Chairman and CEO Marc A. Stefanski. “We have been fortunate to have the
support from those same communities and our customers who have voted for
the dividend waiver during the last five years. We are again asking for
their support since we believe waiving the dividend is in the best
interest of our customers, our shareholders, and Third Federal.”
There can be no assurance that the members will approve the dividend
waivers or that the Federal Reserve will not object to the waivers even
if it is approved by members at the special meeting. A failure to obtain
the waiver will likely result in a reduction in the dividend expected to
be paid to public stockholders.
Third Federal is a leading provider of savings and mortgage products,
and operates under the values of love, trust, respect, a commitment to
excellence and fun. Founded in Cleveland in 1938 as a mutual association
by Ben and Gerome Stefanski, Third Federal’s mission is to help people
achieve the dream of home ownership and financial security. It became
part of a public company in 2007. Third Federal, which lends in 25
states and the District of Columbia, is dedicated to serving consumers
with competitive rates and outstanding service. Third Federal, an equal
housing lender, has 21 full service branches in Northeast Ohio, eight
lending offices in Central and Southern Ohio, and 16 full service
branches throughout Florida. As of March 31, 2019, the Company’s assets
totaled $14.2 billion.
This news release contains forward-looking statements as defined in the
Securities Exchange Act of 1934 and is subject to the safe harbors
created therein. The forward-looking statements contained herein
include, but are not limited to, the Company’s plans regarding its
dividends. These forward-looking statements involve risks and
uncertainties that could cause the Company’s results to differ
materially from management’s current expectations. The Company’s risks
and uncertainties are detailed in its filings with the Securities and
Exchange Commission, including our Annual Report on Form 10-K for the
fiscal year ended September 30, 2018. Forward-looking statements are
based on the beliefs and assumptions of our management and on currently
available information. The Company undertakes no responsibility to
publicly update or revise any forward-looking statement.
Contacts
TFS Financial Corporation
Jennifer Rosa (216) 429-5037
