United Security Bancshares, the Fresno-based holding company of United Security Bank, is paying a cash dividend to its shareholders for the first time since 2008.
The company’s board of directors last week authorized the dividend of 5 cents per share, along with the repurchase of up to $3 million in stock. It represents a shift in the board’s preference for issuing stock as dividends rather than cash as a means of preserving capital. The last time United Security paid a cash dividend was in July 2008. For the past 34 quarters, the company had provided shareholders with a 1 percent stock dividend – or one share of stock for every 100 share they own. The most recent stock dividend was distributed last month.
The cash dividend will be paid on May 17 to shareholders of record as of May 8.
United Security stock is traded on Nasdaq under the stock symbol UBFO.