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Redeemable Noncontrolling Interests in Subsidiaries
 12 Months Ended
Dec. 31, 2021
Noncontrolling Interest [Abstract]  
Redeemable Noncontrolling Interests in Subsidiaries Common Stock
The Class A Shareholder has the entire voting rights of Federated Hermes; however, without the consent of the majority of the holders of Class B common stock, the Class A Shareholder cannot alter Federated Hermes' structure, dispose of all or substantially all of its assets, amend its Articles of Incorporation or Bylaws to adversely affect the Class B common stockholders, or liquidate or dissolve Federated Hermes. With respect to dividends, distributions and liquidation rights, the Class A common stock and Class B common stock have equal preferences and rights.
(a) Dividends
Cash dividends of $105.8 million, $207.8 million and $109.1 million were paid in 2021, 2020 and 2019, respectively, to holders of Federated Hermes common stock. Of the amount paid in 2020, $99.3 million represented a $1.00 per share special dividend paid in the fourth quarter. All dividends were considered ordinary dividends for tax purposes.
(b) Treasury Stock
In October 2016, the board of directors authorized a share repurchase program with no stated expiration date that allows the buy back of up to 4 million shares of Class B common stock. This program was fulfilled in March 2020. In March 2020, the board of directors authorized a share repurchase program with no stated expiration date that allows the buy back of up to 500 thousand shares of Class B common stock. This program was fulfilled in May 2020. In April 2020, the board of directors authorized a share repurchase program with no stated expiration date that allows the buy back of up to 3.5 million shares of Class B common stock. This program was fulfilled in May 2021. In April and December 2021, the board of directors authorized share repurchase programs with no stated expiration dates that allow the repurchase of up to 4 million and 7.5 million shares, respectively, of Class B common stock. The April 2021 program was fulfilled in December 2021. No other program existed as of December 31, 2021. The program authorizes executive management to determine the timing and the amount of shares for each purchase. The repurchased stock is to be held in treasury for employee share-based compensation plans, potential acquisitions and other corporate activities, unless Federated Hermes' board of directors subsequently determines to retire the repurchased stock and restore the shares to authorized but unissued status (rather than holding the shares in treasury). During the year ended December 31, 2021, Federated Hermes repurchased 7.1 million shares of its Class B common stock for $239.7 million ($12.5 million of which was accrued in Other Current Liabilities as of December 31, 2021), nearly all of which were repurchased in the open market. At December 31, 2021, 6.1 million shares remained available to be repurchased under this share repurchase program.
Redeemable Noncontrolling Interests in Subsidiaries
The following table presents the changes in Redeemable Noncontrolling Interests in Subsidiaries:
(in thousands)Consolidated Investment Companies
HFML and other entities
Total
Balance at January 1, 2019$11,626 $170,887 $182,513 
Net Income (Loss)2,016 2,770 4,786 
Other Comprehensive Income (Loss), net of tax0 6,907 6,907 
Subscriptions—Redeemable Noncontrolling Interest Holders9,356 0 9,356 
Consolidation/(Deconsolidation)454 0 454 
Stock Award Activity0 7,888 7,888 
Distributions to Noncontrolling Interests in Subsidiaries(3,580)0 (3,580)
Business Acquisition0 (386)(386)
Change in Estimated Redemption Value of Redeemable Noncontrolling Interests0 4,148 4,148 
Balance at December 31, 2019$19,872 $192,214 $212,086 
Net Income (Loss)3,626 6,032 9,658 
Other Comprehensive Income (Loss), net of tax0 6,593 6,593 
Subscriptions—Redeemable Noncontrolling Interest Holders20,985 0 20,985 
Consolidation/(Deconsolidation)(4,019)595 (3,424)
Stock Award Activity0 8,786 8,786 
Distributions to Noncontrolling Interests in Subsidiaries(16,218)0 (16,218)
Change in Estimated Redemption Value of Redeemable Noncontrolling Interests0 (1,479)(1,479)
Balance at December 31, 2020$24,246 $212,741 $236,987 
Net Income (Loss)304 1,711 2,015 
Other Comprehensive Income (Loss), net of tax0 (7,443)(7,443)
Subscriptions—Redeemable Noncontrolling Interest Holders997,556 1,409 998,965 
Consolidation/(Deconsolidation)(994,430)9,182 (985,248)
Stock Award Activity0 9,410 9,410 
Distributions to Noncontrolling Interests in Subsidiaries(3,017)(1,909)(4,926)
Acquisition of Additional Equity of HFML0 (167,302)(167,302)
Change in Estimated Redemption Value of Redeemable Noncontrolling Interests0 (19,256)(19,256)
Balance at December 31, 2021$24,659 $38,543 $63,202 
The activity in 2021 includes $892.1 million of contributions from noncontrolling interests in subsidiaries as a result of a purchase-in-kind investment into a previously consolidated VRE. This was a noncash transaction and was therefore excluded from the Consolidated Statements of Cash Flows.
During 2021, 2020 and 2019, the HFML Redeemable Noncontrolling Interests in Subsidiaries carrying value was adjusted by $19.3 million, $1.5 million and $4.1 million, respectively, to the current redemption value, assuming the HFML noncontrolling interests was redeemable at the balance sheet date. The noncontrolling interests was adjusted through a corresponding adjustment to retained earnings.