Designer Brands Inc. (DBI), formerly DSW Inc (DSW), will cut its quarterly dividend by 60.0 percent to $0.10 per share in 2020. The branded footwear and accessories retailer last hiked its dividend by 25.0 percent in 2018.

In the company's press release announcing the fourth quarter and fiscal year 2019 financial results Designer Brands explains the dividend cut: Due to the COVID-19 situation, the Company's Board of Directors declared a quarterly cash dividend of $0.10 per share, a reduction from the previous level of $0.25 per share, in order to preserve the Company's liquidity. The dividend will be paid on April 10, 2020 to shareholders of record at the close of business on March 30, 2020.

A new annual dividend rate of 40 cents per share yields 7.2% at a stock price of $5.54.

Designer Brands Inc., formerly known as DSW Inc. (Designer Shoe Warehouse), is a branded footwear and accessories retailer that offers brand name and designer dress, casual and athletic footwear and accessories for women, men and kids. The company operates a portfolio of retail concepts in nearly 1,000 locations under the DSW Designer Shoe Warehouse, The Shoe Company and Shoe Warehouse banners and services footwear departments in the U.S. through its Affiliated Business Group. Designer Brands designs and produces footwear and accessories through Camuto Group, a manufacturer selling in more than 5,400 doors worldwide. Camuto Group owns licensing rights for the Jessica Simpson footwear business, and footwear and handbag licenses for Lucky Brand and Max Studio. In partnership with a joint venture with Authentic Brands Group, Designer Brands also owns a stake in Vince Camuto, Louise et Cie, Sole Society, CC Corso Como and others.