1. Dividend Policy
The dividend policy of the Company is to distribute all the surplus funds after meeting operating needs of the Company to the Shareholders. Dividend payments must be recommended by the Company's Board and approved at the General Assemblies, neither of which is under any obligation to recommend or approve dividend payments. The Company's dividend payments are subject to the following:
• Statutory restrictions in accordance with the Commercial Companies Law
• Solvency requirements.
• Any banking or other funding covenants binding to the Company.
• The operating requirements referred to in this clause.
• The requirements of the Company and its constitutional documents.
The target dividend pay-out ratio set out based on the above factors is not changed without a resolution of the Board. In order to measure the Company's performance against the target dividend pay-out ratio in a financial year, the Board shall seek to maintain consistency from year to year by smoothing the effect of any variation in retained earnings resulting from the Company's operational performance during any year, while maintaining the target dividend pay-out ratio range on average over a five-year period. In relation to the Offering, each Ordinary Share shall entitle the holder to participate in the dividends, if declared by the Company. Each Ordinary share will also participate in any dividend due to be paid to Shareholders in respect of the financial year ending 31st December 2014 on a pari passu basis with the currently issued Shares.
2. Dividend History