Proposed appropriation of result
On outstanding Class B preferred shares, a dividend is paid out equal to the average of the 12-month Euribor increased by 1%. If the 12-month Euribor is no longer determined, the dividend on preference shares will be calculated based on the yield on State loans (article 35 sub 1, Articles of Association). No Class B preferred shares were outstanding in 2007. Subsequently, subject to the approval of the Supervisory Board, the Board of Management will determine what proportion of net income remaining after payment of the dividend on any Class B preferred shares will be appropriated to the reserves (article 35 sub 2, Articles of Association). The part of the profit remaining after the appropriation to the reserves shall be at the disposal of the general meeting (article 35 sub 3 Articles of Association). The Board of Management, with the approval of the Supervisory Board, may also appropriate the complete profit to the reserves.
On March 5, 2008, the Board of Management, with approval of the Supervisory Board, has appropriated an amount of EUR 1,671 million out of the profit to the Other reserves. The remaining part of the profit over 2007, amounting to EUR 981 million, is available for distribution as dividend. In August 2007 an interim dividend of EUR 0.18 was paid to all holders of ordinary shares, amounting to a total of EUR 337 million. The remaining part of EUR 644 million is available for distribution as final dividend.
The Board of Management, with the approval of the Supervisory Board, will propose to the Annual General Meeting of Shareholders to determine the total dividend over 2007 at EUR 0.54 per ordinary share. After deduction of the interim dividend of EUR 0.18 per ordinary share, the final dividend will be EUR 0.36 per ordinary share. Subject to the provisions of Article 37 of the Articles of Association, the 2007 final dividend will become payable as of April 25, 2008, which is 8 working days after the date of the General Meeting of Shareholders. The payout ratio of this dividend amounts to 38.0% of our profit for 2007.