Company: CMDB
Filing Date: 2025-03-31
Form Type: 20FR12B
Source: 0001140361-25-011425
Chunk: 250

Company: Costamare Bulkers Holdings Ltd
Filing Date: 2025-03-31
Form: 20FR12B
Chunk 250
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 a dollar-for-dollar basis) and thereafter as capital gain recognized on a sale or exchange of your Costamare Inc. common shares.

Costamare Inc. will not be able to determine the amount of the distribution that will be treated as a dividend until after the close of the taxable year of the Spin-off, because its current year earnings and profits will be calculated based on its income for the entire taxable year in which the distribution occurs. In addition to Costamare Inc.’s operating results for that year, which will not include the earnings and expenses of the Costamare Bulkers Holdings business after the separation, other factors that are not knowable at this time will affect Costamare Inc’s earnings and profits for the taxable year of the Spin-off. Those factors include the extent, if any, to which the value of Costamare Bulkers Holdings at the time of the Spin-off exceeds Costamare Inc.’s tax basis in Costamare Bulkers Holdings, resulting in recognition of a gain that will increase Costamare Inc.’s earnings and profits. Costamare Inc. currently intends to cause its shareholders to be provided with a determination of the portion of the distribution constituting a taxable dividend as soon as practicable after its earnings and profits for the taxable year in which the distribution occurs are calculated. This information may not be available until after you file your income tax returns for that taxable year, and you may need to file amended tax returns to reflect the amount of the taxable dividend as finally determined.

If you are a U.S. corporation (or a U.S. entity taxable as a corporation), you will generally not be entitled to claim a dividends-received deduction with respect to the receipt of our ordinary shares in the Spin-off.

The receipt of ordinary shares in the Spin-off as a dividends paid will generally be treated as “passive category income” for purposes of computing allowable foreign tax credits for U.S. foreign tax credit purposes.

If you are an individual, trust or estate, the amount of the distribution if our ordinary shares in the Spin-off treated as a dividend should be treated as “qualified dividend income” subject to reduced rates of U.S. Federal income tax, as discussed below under “Distributions on Our Common Shares”; provided that the conditions described below are satisfied with respect to your Costamare Inc. common shares.

Special rules may apply to any “extraordinary dividend”. Generally, an extraordinary dividend is a dividend in an amount that is equal to (or in excess of) 10% of your adjusted