Kentucky Fried Chicken (Bermuda) Ltd. will not pay shareholders their regular quarterly dividend, managing director Mr. Ian Payton revealed yesterday.

KFC cited recent expansion to their Hamilton location as well as payments to sister company for the one-time suspension of the dividend.

"After careful deliberation, the directors of KFC (Bermuda) Ltd. have determined that it would not be prudent at this time to declare and pay a quarterly dividend to shareholders of record as at June 30, 1995,'' said Mr.

Payton.

After the company's recent multi-million dollar expansion to its Queen Street location, which increased the business' area and added additional pizza product lines, directors have decided it would be in "the best interest of the company'' and its shareholders to allow the cash flow to "regularise'' and to make partial repayments on loans/payables to its sister company and landlord, Regina Via Ltd., said Mr. Payton.

Regina Via shareholders will be paid a dividend of 10 cents per share. "Based on ongoing operations, the directors do not foresee a disruption with the payment of the next quarterly dividend,'' Mr. Payton said.

The Bermuda Stock Exchange gained 9.10 points or .90 percent yesterday to close at 1,017.17.

Bank of Bermuda gained 67.5 cents to close at $18.50 on volume of 18,232.

Bermuda Home closed up 12.5 cents at $8.125 on volume of 739.

Belco closed down $1 at $18.25 on volume of 7,920 while Telco closed unchanged at $35 on volume of 344.

Share volume was 27,235 with a value of $505,574.26.

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