Trump says no dividends or buybacks for some defence companies

President Trump announced he will not permit dividends or stock buybacks for some U.S. defence companies until they address production and maintenance problems, and he criticized executive pay in the sector.

President Donald Trump announced a restriction on dividends and stock buybacks for some U.S. defence companies tied to production and maintenance issues. He linked the move to what he described as slow production and inadequate maintenance of military equipment. The announcement also included criticism of high executive pay in the defence industry. The statement was posted on Truth Social and came as the White House and the Pentagon continue to express concerns about the sector's pace and costs. Key points: - Trump said dividends and stock buybacks for some defence companies will not be permitted until production and maintenance problems are fixed. - He criticized executive pay packages in the defence industry as excessive. - The statement called for building new and modern production plants to deliver and maintain equipment and to produce future models. - The announcement did not name any specific companies or executives. - The Pentagon and other officials have also raised concerns about the expense and pace of defence production. Summary: The announcement indicates a potential policy stance limiting shareholder returns for certain defence firms while demanding improvements in production and maintenance. It also increases public scrutiny of executive compensation and calls for new production capacity. Undetermined at this time.