IRVINE, Calif., May 3, 2012 (GLOBE NEWSWIRE) -- Universal Bioenergy Inc., (OTCMarkets:UBRG), a publicly traded independent diversified energy company that markets natural gas, propane, and produces petroleum and coal, announced today that its Board of Directors held a meeting, at which the Board reviewed a proposal from management to distribute a common stock dividend to its shareholders on a 10 for 2 basis.
The plan would pay or issue two shares of common stock for every ten shares of common stock held by the shareholders of record, as of June 1, 2012. The shareholders would be entitled to receive two shares of common stock for every ten shares that they own. Pending final approval from the Board, the required documentation will be filed with the U.S. Securities and Exchange Commission and the Financial Industry Regulatory Authority (FINRA).
Universal Bioenergy is a high growth company that is rapidly growing at double digit rates. The Company achieved record sales of over $71.74 million in 2011. The Company projects to double its revenues in 2012 through more energy acquisitions and higher sales of natural gas, propane, oil and coal. The Company disclosed in its Form 10-K Annual Report for 2011, filed on April 19, 2012, that it was considering various proposals to bring more shareholder value, which would include special dividends, regular stock dividends in cash or stock, preferred stock dividends and warrants or options, subject to SEC guidelines.
Universal's President Vince M. Guest states, "Due to management's strong confidence in the current and future growth and expansion of the Company, we are considering a variety of proposals to broaden our stocks marketability and maximize the wealth of our loyal shareholders. In addition to potential price appreciation of the common stock, this could provide the shareholders with additional current income, cash flow and, although we cannot guarantee it, the potential to earn higher returns from these stock dividends and distributions than they might earn on their other investments. We believe this will reward our loyal shareholders for their ongoing support, and to give them a greater stake in our Company."
About Universal Bioenergy Inc.
Founded in 2004, Universal Bioenergy Inc., is a publicly traded independent diversified energy company that produces and markets natural gas, petroleum, coal and propane. We market energy resources to the largest public utilities, electric power producers and local gas distribution companies in the U.S., that serve millions of commercial, industrial and residential customers. We are also engaged in the acquisition and development of existing or recently discovered oil and gas fields, leases and surface coal mines. For more information visit www.universalbioenergy.com
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Safe Harbor Statement - There are matters discussed in this media information that are forward looking statements within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. Such statements are only forecasts and actual events or results may differ materially from those discussed. For a discussion of important factors which could cause actual results to differ from the forward looking statements, refer to Universal Bioenergy Inc.'s most recent annual report and accounts and other SEC filings. The company undertakes no obligation to update publicly, or revise, forward looking statements, whether as a result of new information, future events or otherwise, except to the extent legally required.
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