RE:RBC on CNQ Outlook, 2022 09 04"when net debt levels are below $15 billion, the company will allocate 50% of its free cash flow after dividends and sustaining capital to share repurchases, with the balance (less strategic growth capital/acquisitions) earmarked for debt reduction."
Based on this shareholder return plan, I expected 50% free cash flow after dividend and maintenance capital to share repurchases, I didn't expect the recent CAD1.50 Special Dividend.
The Special Dividend only fits with their plan is if 50% free cash flow (after div and cap) was too much for NCIB share buyback, so as per their plan the only place to stuff the extra cash was a Special Dividend.
Looking forward to many more, especially after Net Debt drops to their floor of CAD8.