Recommendation of the Management Board respecting the amount of the dividend

Tuesday, 04 March, 2008
Report no. 15/2008

The Management Board of KGHM Polska Miedź S.A. hereby announces that it will propose to the Ordinary General Shareholders’ Meeting of KGHM Polska Miedź S.A. payout of a dividend for financial year 2007 of PLN 1 100 000 000, i.e. PLN 5.50 per share. 
The recommended amount of the dividend payout is based on the following assumptions: 

  • given a decision passed on a dividend payout for the years 2005 and 2006 respectively of 87% and 100% of earned profit, a decrease is assumed in the dividend payout ratio from 53% (per the approved Dividend policy) to 29%, 
  • the investment plan to be realised in 2008 and subsequent years, 
  • the capital management policy. 

The above proposal of the Management Board must be evaluated by the Supervisory Board of the Company before it is submitted to the Ordinary General Shareholders’ Meeting. 
A final decision respecting the distribution of the profit of KGHM Polska Miedź S.A. for financial year 2007 will be made by the Ordinary General Shareholders’ Meeting of KGHM Polska Miedź S.A. 

Legal basis: §39, sec. 1 point 7 of the Decree of the Minister of Finance dated October 19, 2005, regarding current and periodic information disclosed by the issuers of securities (Journal of Laws from 2005 Nr 209, item 1744).