Stock Dividend - How to post a non-traditional stock dividend

Question

In April 2022 AT&T (T) decided to spin off its investment in Warner Brothers in a merger with Discovery. They did this by declaring a stock dividend of .241917 shares of Warner Brothers Discovery (WMD) per 1 share of T stock held. WMD, at the time of the stock dividend, was not yet trading. It doesn't seem that there is a clear way to use the stock dividend transaction to record this. It almost feels like this works better as a spinoff and forget it's called a stock dividend. Any ideas?

q_lurker · Accepted Answer

See this comprehensive discussion.

https://community.quicken.com/discussion/7911768/accounting-for-att-wbd-spin-off