Tanger Factory Outlet Centers (SKT) will suspend its quarterly dividend in 2020 because of the COVID-19 pandemic. Earlier this year the REIT raised its quarterly dividend by 0.7 percent to $.3575 per share in the first quarter, marking the 27th consecutive year of dividend increases.

In its press release dated May 11, 2020, the company announced first quarter results and provided a COVID-19 update, including the suspension of the dividend. Tanger states that it intends to pay the dividend of $0.3575 per share declared in January 2020 as scheduled on May 15, 2020 to holders of record on April 30, 2020.  Going forward, given the current uncertainty related to the pandemic's near and potential long-term impact, the Company's Board of Directors will temporarily suspend dividend distributions to conserve approximately $35 million in cash per quarter and preserve the Company's balance sheet strength and flexibility. The Board will continue to evaluate the potential for future dividend distributions on a quarterly basis. Tanger intends to remain in compliance with REIT taxable income distribution requirements for the 2020 tax year.

The Tanger Factory Outlet Centers share lost no less than 62% of its market value this year. A day before today's dividend cut, the dividend yield had risen to over 20% at a current stock price of $ 5.45. Four years ago, investors paid over $ 40 for a share of this Real Estate Investment Trust.

Tanger Factory Outlet Centers, Inc. is a REIT headquartered in Greensboro, North Carolina that operates and owns, or has an ownership interest in, a portfolio of upscale outlet shopping centers. Tanger's operating properties are located in more than 20 states coast to coast and in Canada. Since becoming a public company in May 1993, the company had paid a cash dividend each quarter and has increased its dividend each year. In 2020 the dividend was suspended because of the COVID-19 pandemic, ending a record of 27 consecutive years of dividend increases.