Pyramid Breweries Inc. today announced its board of directors has declared a quarterly cash dividend of US$0.022 per common share, payable on 15 October to shareholders of record on 30 September.

The company initiated its dividend program in the fourth quarter of 1999 and the first dividend was paid in 2000, the brewer said. The dividends paid in the years between 2000 and 2003 were a return of capital to shareholders for Federal income tax purposes. The company said that it believes a portion of the dividends to be paid in 2004 may be a return of capital. Nearly all Pyramid shareholders receive favourable tax treatment of dividends that are a return of capital (other than Qualified Plans and IRA's).

The company's current quarterly dividend results in an annual yield of 3.9% to Pyramid shareholders based on the end of day stock price last Thursday (16 September).