Note 8 - Marketable Securities

12 Months Ended

Dec. 31, 2023

Notes to Financial Statements

Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]

8.  Marketable Securities:

The amortized cost and unrealized gains, net of marketable securities as of December 31, 2023 and 2022, are as follows (in thousands):

	December 31,
		2023		2022
Marketable securities:
Amortized cost	$	40,110	$	87,411
Unrealized gains, net		289,947		510,321
Total fair value	$	330,057	$	597,732

The Company’s gains/(losses) on marketable securities and dividend income for the years ended December 31, 2023, 2022 and 2021, are as follows (in thousands):

	Year Ended December 31,
	2023		2022			2021
Gain/(loss) on marketable securities, net	$	21,262	$	(315,508	)	$	505,163
Dividend income (included in Other income, net and Special dividend income)		202,749		18,002			16,958

The portion of unrealized gains/(losses) on marketable securities for the period that relates to marketable securities still held at the reporting date (in thousands):

	Year Ended December 31,
	2023		2022			2021
Gain/(loss) on marketable securities, net	$	21,262	$	(315,508	)	$	505,163
Less: Net gain/(loss) recognized related to marketable securities sold		10,614		(15,120	)		-
Unrealized gain/(loss) related to marketable securities still held	$	31,876	$	(330,628	)	$	505,163

Albertsons Companies, Inc. (“ACI”) –

During 2023, the Company received a $194.1 million special dividend payment on its shares of ACI common stock and recognized this as Special dividend income on the Company’s Consolidated Statements of Income. As a result, the Company’s Board of Directors declared a $0.09 per common share special cash dividend to maintain distribution requirements as a REIT. This special dividend was paid on December 21, 2023, to shareholders of record on December 7, 2023.

In addition, during 2023, the Company sold 14.1 million shares of ACI common stock held by the Company, generating net proceeds of $282.3 million. For tax purposes, the Company recognized a long-term capital gain of $241.2 million. The Company retained the proceeds from this stock sale for general corporate purposes and incurred federal and state taxes of $60.9 million on the taxable gain. As of December 31, 2023, the Company held 14.2 million shares of ACI. See Footnote 28 of the Notes to Consolidated Financial Statements for additional information regarding subsequent events.

During 2022, the Company sold 11.5 million shares of ACI common stock held by the Company, generating net proceeds of $301.1 million. For tax purposes, the Company recognized a long-term capital gain of $251.5 million. The Company elected to retain the proceeds for this stock sale for general corporate purposes and paid federal and state taxes of $57.2 million on the taxable gain.