JSC VTB Bank: VTB Supervisory Council issues dividend recommendation

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JSC VTB Bank (VTBR) 
VTB Supervisory Council issues dividend recommendation 
 
23-Apr-2019 / 15:54 CET/CEST 
Dissemination of a Regulatory Announcement, transmitted by EQS Group. 
The issuer is solely responsible for the content of this announcement. 
 
VTB Supervisory Council issues dividend recommendation 
 
VTB Supervisory Council recommends the Annual General Shareholders' Meeting 
of the Bank to approve the distribution of 15% of the Bank's 2018 Net Profit 
under IFRS as total dividends for 2018, and retain the remaining part of the 
Net Profit to support its capital adequacy. The decision came as a response 
to higher capital adequacy requirements set by the Bank of Russia for 
systemically important banks in line with introduction of Basel III 
standards. 
 
Thus the Supervisory Council recommended to the Annual General Shareholders' 
Meeting to pass a resolution to pay dividends in the amount of RUB 26.8 
billion including: 
 
? RUB 14.2 billion for ordinary shares, or c. RUB 0.001099 per one share 
with a nominal value of RUB 0.01; 
 
? RUB 5.2 billion for Type 1 preference shares, or c. RUB 0.0002413 per 
one share with a nominal value of RUB 0.01; 
 
? RUB 7.4 billion for Type 2 preference shares, or c. RUB 0.002413 per one 
share with a nominal value of RUB 0.1. 
 
The above dividends for each share type for 2018 were calculated based on 
concept of equal dividend yield for all three categories of shares, the 
dividend yield for 2018 was fixed at 2.4 per cent. Dividend yield on 
ordinary shares was calculated based on average daily price on the Moscow 
Exchange in 2018, while for preference shares it was calculated based on the 
nominal value for both types of preference shares. 
 
VTB's undistributed Net Profit for 2018 in the amount of RUB 192.5 billion 
will be utilized to support business growth and capital adequacy levels in 
line with the requirements of the Bank of Russia. 
 
The Supervisory Council also recommended to the Annual General Shareholders' 
Meeting to set 24 June 2019 as the record date for determining the list of 
persons eligible for 2018 dividend payment. 
 
First Deputy President and Chairman of VTB Bank Management Board Dmitriy 
Olyunin said: "This year, VTB intends to scale down dividends and retain 
most of its 2018 profits to strengthen our capital base against the backdrop 
of stricter regulatory requirements. We strongly believe that this decision 
will ensure further robust business growth and higher profitability, and 
will ultimately pave the way towards a substantial increase of dividend flow 
in the years to come." 
 
ISIN:          US46630Q2021 
Category Code: MSCM 
TIDM:          VTBR 
LEI Code:      253400V1H6ART1UQ0N98 
Sequence No.:  8309 
EQS News ID:   802467 
 
End of Announcement EQS News Service 
 
 

(END) Dow Jones Newswires

April 23, 2019 09:54 ET (13:54 GMT)