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Shareholders' Equity
12 Months Ended
Dec. 31, 2012
Stockholders' Equity Note [Abstract]  
Shareholders' Equity
SHAREHOLDERS’ EQUITY
The aggregate authorized capital of the Company is 325 million shares consisting of 225 million common shares and 100 million preference shares. The following table is a summary of changes in common shares issued and outstanding:
 
 
 
 
 
 
 
 
 
Year ended December 31,
2012
 
2011
 
2010
 
 
(thousands of shares)
 
 
 
 
 
 
 
Issued and outstanding shares – January 1
51,543

 
54,110

 
61,745

 
 
Shares repurchased
(6,399
)
 
(2,889
)
 
(8,198
)
 
 
Exercise of options and issuance of restricted stock awards
398

 
322

 
563

 
 
Issued and outstanding shares – December 31
45,542

 
51,543

 
54,110

 
 
 
 
 
 
 
 
 

The Board of Directors of RenaissanceRe declared, and RenaissanceRe paid, a dividend of $0.27 per common share to shareholders of record on March 15, June 15, September 14 and December 14, 2012, respectively. Dividends declared and paid on common shares amounted to $1.08, $1.04 and $1.00 per common share for the years ended December 31, 2012, 2011 and 2010, respectively, or $53.4 million, $53.5 million and $55.9 million, respectively, on all common shares outstanding.
The Company's share repurchase program may be effected from time to time, depending on market conditions and other factors, through open market purchases and privately negotiated transactions. Unless terminated earlier by resolution of the Company's Board of Directors, the program will expire when the Company has repurchased the full value of the shares authorized. The Company's decision to repurchase common shares will depend on, among other matters, the market price of the common shares and the capital requirements of the Company. During the year ended December 31, 2012, the Company repurchased 6.4 million shares in open market transactions and a privately negotiated transaction, at an aggregate cost of $494.4 million, and at an average share price of $77.26. On November 13, 2012, the Company approved an increase in its authorized share repurchase program to an aggregate amount of $500.0 million. At December 31, 2012, $286.0 million remained available for repurchase under the Board authorized share repurchase program. See "Note 23. Subsequent Events" for additional information related to share repurchases subsequent to December 31, 2012 and an increase in the Company's authorized share repurchase program.
In December 2006, the Company raised $300.0 million through the issuance of 12 million Series D Preference Shares at $25 per share and in March 2004, the Company raised $250.0 million through the issuance of 10 million Series C Preference Shares at $25 per share. The Series D and Series C Preference Shares may be redeemed at $25 per share at the Company's option on or after December 1, 2011 and March 23, 2009, respectively. Dividends on the Series D and Series C Preference Shares are cumulative from the date of original issuance and are payable quarterly in arrears at 6.60% and 6.08%, respectively, when, if, and as declared by the Board of Directors. The preference shares have no stated maturity and are not convertible into any other securities of the Company. Generally, the preference shares have no voting rights. Whenever dividends payable on the preference shares are in arrears (whether or not such dividends have been earned or declared) in an amount equivalent to dividends for six full dividend periods (whether or not consecutive), the holders of the preference shares, voting as a single class regardless of class or series, will have the right to elect two directors to the Board of Directors of the Company. On November 27, 2012, the Company announced a mandatory partial redemption of 6.0 million of its outstanding Series D Preference Shares at a redemption price of $25.00 per Series D Preference Share. The partial redemption was allocated by random lottery in accordance with the Depository Trust Company's rules and procedures and on December 27, 2012 the Company redeemed the 6.0 million Series D Preference Shares called for redemption for $150.0 million plus accrued and unpaid dividends thereon. Following this transaction, 6.0 million Series D Preference Shares remain outstanding.
During the year ended December 31, 2012, the Company declared and paid $34.9 million in preference share dividends (2011$35.0 million, 2010 $42.1 million).