Share Capital

3 Months Ended

Mar. 31, 2020

The preferred shares issued in connection with the acquisition of OppenheimerFunds have a $0.20 par value, liquidation preference of $1,000 per share and fixed cash dividend rate of 5.90% per annum, payable quarterly on a non-cumulative basis. Shares of preferred stock are not redeemable prior to the 21^st anniversary of their original issue date of May 24, 2019. The number of preferred shares issued and outstanding is represented in the table below:



	As of
in millions	March 31, 2020	December 31, 2019
Preferred shares issued ⁽¹⁾	4.0	4.0
Preferred shares outstanding ⁽¹⁾	4.0	4.0

__________


(1)	Preferred shares are held by MassMutual and are subject to a lock-up period of five years, which disallows the sale of preferred shares by MassMutual during the five-year period beginning on the original issue date of May 24, 2019.

The number of common shares and common share equivalents issued are represented in the table below:



	As of
In millions	March 31, 2020		December 31, 2019
Common shares issued	566.1		566.1
Less: Treasury shares for which dividend and voting rights do not apply	(107.2	)	(112.8	)
Common shares outstanding	458.9		453.3

In 2019, the company entered into three forward contracts to purchase its common shares. The details of the forward contracts as of March 31, 2020 and December 31, 2019, are as follows:



In millions, except strike price	March 31, 2020
	Common Shares Purchased	Initial Strike Price		Forward Price		Hedge Completion Date	Total Treasury Shares Recorded		Settlement Date	Total Liability Recorded
$200 million - entered on May 13, 2019	9.8	$	20.51	$	12.00	05/30/2019	$	198.7	01/04/2021	$	(116.6	)
$200 million - entered on July 2, 2019	10.0	$	20.00	$	12.00	07/30/2019	$	193.7	04/01/2021	$	(117.7	)
$100 million - entered on August 27, 2019	6.0	$	16.59	$	12.00	09/27/2019	$	102.6	04/01/2021	$	(73.5	)
	25.8						$	495.0		$	(307.8	)



In millions, except strike price	December 31, 2019
	Common Shares Purchased	Initial Strike Price		Forward Price		Hedge Completion Date	Total Treasury Shares Recorded		Settlement Date	Total Liability Recorded
$200 million - entered on May 13, 2019	9.8	$	20.51	$	20.51	05/30/2019	$	198.7	01/04/2021	$	(199.1	)
$200 million - entered on July 2, 2019	10.0	$	20.00	$	20.00	07/30/2019	$	193.7	04/01/2021	$	(195.3	)
$100 million - entered on August 27, 2019	6.0	$	16.59	$	16.59	09/27/2019	$	102.6	04/01/2021	$	(102.1	)
	25.8						$	495.0		$	(496.5	)

During the three months ended March 31, 2020, the company amended its forward contracts resulting in a reduced forward price of $12.00. The company applied $190.6 million of collateral already paid against the forward payable which reduced the amount the company will be required to pay at the time of settlement. The forward liability is recorded in accounts payable and accrued expenses on Condensed Consolidated Balance Sheet. The net collateral paid balance of $87.9 million at March 31, 2020 (December 31, 2019: $37.8 million) is recorded in other assets on the Condensed Consolidated Balance Sheet.