Zagreb, 22nd March 2007 – The Supervisory Board of the company Ericsson Nikola Tesla approved at their meeting of 21st March the Managing Director's proposal that shall be submitted to the General Shareholders' Assembly for payment of 320 HRK dividends per share. This amount includes 20 HRK of regular dividend compliant with the company's policy on dividend payment and 300 HRK of an extraordinary, non-recurring payment to shareholders.
The reason for such a high dividend is an outstanding business performance of the company over the last couple of years, a stable financial situation and a high liquid assets level.
Also, the company collaborates well with the financial institutions so that there is no need to retain such a high liquid assets level that now exceeds 700 MHRK. Owing primarily to the company’s stable operations over the years, to the strong technological and market references and the high intellectual capital, the payment of the proposed dividend will not affect the company's ability to achieve its business plans in both domestic and foreign markets. The company's goal is to further strengthen this position.
Pursuant to its strategy for the next period the company is to continue its repositioning toward system integration, multimedia solutions and new-generation IP networks and is to broaden the existing customer base in numerous markets with new customers and new markets. Many responsibilities the company Ericsson Nikola Tesla has in the Ericsson Corporation, primarily in the research and development, global service delivery center, customer solutions and in other expert centers, contribute to the company's significance in the global organization.
The Supervisory Board also approved the Managing Director’s proposal that ETK should acquire additional treasury shares to be granted to employees, to award their contribution to ETK results and to further encourage their motivation.
The General Shareholders Assembly of the joint stock company Ericsson Nikola Tesla is scheduled for 31st May 2007.
Communication Ericsson Nikola Tesla