The Cato Corporation (CATO) will reinstate the quarterly dividend at a lower rate of 11 cents per share in 2021. Last year CATO suspended its quarterly dividend because of the COVID-19 pandemic. The company last raised its quarterly dividend to $0.33 per share in 2016.

The new dividend is a third of the previous quarterly dividend and will be paid on June 21, 2021 to shareholders of record on June 7, 2021. The ex-date for the next dividend of $0.11 for CATO is June 4, 2021. A new annual dividend rate of 44 cents will yield an estimated 2.9% at a stock price of $15.15.

The Cato Corporation is a fashion specialty retailer. The company's stores are principally located in the southeastern United States, under the names “Cato,” “Cato Fashions,” “Cato Plus,” “It’s Fashion,” “It’s Fashion Metro” and “Versona.” The Cato concept seeks to offer quality fashion apparel and accessories at low prices, every day in junior/missy and plus sizes. The Cato concept’s stores and e-commerce websites feature a broad assortment of apparel and accessories, including dressy, career, and casual sportswear, dresses, coats, shoes, lingerie, costume jewelry and handbags. A major portion of the Cato concept’s merchandise is sold under its private label and is produced by various vendors in accordance with the concept’s specifications. The company was founded in 1946 and had been paying a dividend for many decades prior to the 2020 suspension.