You got it! It's a mixed bag though (I'm talking Canadian here :~) depending on where you held the stock. It's a sweet deal for some that participated. You receive not only the capital loss(not that anyone needs it after the recent depression), your dividend is affected by the dividend tax credit which means little or no tax paid.  Another scenario is that you had the stock in your Tax Free Savings Account or Registered Retirement Plan.In that case the Capital Loss is of no value and your Dividend will be taxable when you withdraw money from your RRP account.  The situation for foreign investors I do not know.