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To any shareholders of Bowl America (AMEX: BWL.A) who were wondering why two dividends were paid out on January 22nd I found the answer in the latest 8-k filed.  The ‘extra’ dividend was a 50th anniversary present to the owners of the company.  I previously wrote about Bowl America and the strong dividend policy.

This is a welcome surprise, and one more sign the Bowl America management is shareholder focused.  Stated in the 8-k  the Board of Directors also increased the quarterly dividend from $.14/share to $.15/share to keep up with inflation.  At the $.60 dividend rate and the current trading price the yield is 3.87%, which is higher than ING Direct after the rate cut.

I have pasted the release below:

Memo from Leslie H. Goldberg, President, dated January 22, 2008,
 mailed to security holders of record January 10, 2008.

January 22, 2008

Dear Fellow Owners:

The enclosed third quarter dividend is being paid earlier than usual this year.
Today is the 50th anniversary of the opening of the Shirley Tenpin Bowl - Bowl
America's first center.  We have, therefore, included a $.10 extra dividend as
sort of a birthday present from us (it really is our money) to us.

Of equal importance, we have increased our regular quarterly dividend to $.15
per share.  If business conditions warrant, this increase will make this year
our 37th consecutive year of increased per share dividends.  Our corporate
objective remains to provide dividends that keep pace with inflation.

We are subject to the same pressures as every retail company.  We are hopeful
that the techniques we have learned in prior cutbacks in consumer discretionary
spending will enable us to continue to deal with the problems that we see today.

HAPPY BIRTHDAY SHIRLEY!