Dividend policy

The events to which Ageas was subject between October 2008 and April 2009 meant that the dividend policy pursued by Ageas for several years could not be maintained. A new dividend policy has therefore been devised as part of the new Ageas strategy. An announcement about this was made during Investor Day on 25 September 2009.

What does this new dividend policy involve?

Ageas intends to pay a regular annual dividend in cash, based on the profit made on insurance activities. Ageas is aiming at a dividend distribution ratio of around 40 to 50 % of the net profit on insurance activities. The exact percentage will depend on the circumstances at the time, and in particular on developments as regards the growth plans and the resources available to finance them. This policy will enable shareholders to benefit fully from Ageas’s cash generating activities while at the same time retaining the advantage of long-term value creation on emerging markets.

Moreover, Ageas will, if appropriate, propose to distribute to its shareholders, in the form of an additional dividend, the advantage resulting from the exercising or monetisation of the call option on BNP Paribas shares granted by the Belgian State.

 

Dividend for the 2010 financial period:

On 9 March 2011, the Ageas Board of Directors proposed distributing a gross dividend of eight eurocents per share, subject to the approval by the shareholders at the General Shareholders’ Meetings on 27 and 28 April 2011. This equates to an expected dividend ratio of 50% of the profit on insurance, in accordance with the dividend policy announced at the end of September 2009.

Schedule:

2 May 2011 - Ex-dividend date – Start of dividend election period

20 May 2011 - End of dividend election period

31 May 2011 - Payment of 2010 dividend (coupon no. 44)

Final gross dividend paid out by ageas N.V. in the Netherlands will amount to EUR 0.08 per Ageas Share. Final net dividend will amount to EUR 0.068, being gross dividend less Dutch dividend withholding tax of 15% in principle.

Final gross dividend paid out by ageas SA/NV in Belgium will amount to EUR 0.08 per Ageas Share. Final net dividend will amount to EUR 0.06, being gross dividend less Belgian withholding tax of 25% in principle. Any shares accompanied by coupon no. 44 from the VVPR strip will be subject to Belgian withholding tax of only 15%, so net dividend of EUR 0.068 per share will be paid on those shares.

Dividend overview

Dividend (in EUR)

Coupon nr	Gross amount	Payment date	Type
44	0.08	31 May 2011	Dividend 2010
43	0.08	1 June 2010	Dividend 2009
42	-	-	Coupon of no value*
41	0.59	27 May 2008	Final dividend 2007
40	-	-	Right to subscribe to October 2007 capital increase
39	0.70	6 September 2007	Interim dividend 2007
38	0.82	14 June 2007	Final dividend 2006
37	0.58	7 September 2006	Interim dividend 2006
36	0.64	22 June 2006	Final dividend 2005
35	0.52	15 September 2005	Interim dividend 2005
34	1.04	16 June 2005	Dividend 2004
33	0.92	17 June 2004	Dividend 2003
32	0.88	18 June 2003	Dividend 2002
31	0.88	20 June 2002	Dividend 2001
3	0.88	8 June 2001	Dividend 2000
2	0.76	26 May 2000	Dividend 1999

 * Coupon 42 realised a right on a compensation mechanism created by the Belgian State in October 2008 in favour of certain categories of Ageas shareholders. This mechanism was never implemented and was subsequently replaced, in the new draft agreement between the Belgian State, BNP Paribas, Fortis Bank and Ageas, by a call option in favour of Ageas on BNP Paribas shares held by the SFPI (Société Fédérale de Participations et d'Investissement – Federal Holdings and Investment Company).

 

Dividend election procedure

Each Ageas share represents one share in each of the two Ageas parent companies, i.e. ageas N.V. and ageas SA/NV. To optimise their fiscal position taking into account the double taxation agreements, the shareholders can decide from which parent company they wish to receive dividend. They can choose ageas SA/NV and receive dividend from the Belgian source or ageas N.V. and receive dividend from the Dutch source. Shareholders must make their choice known during the dividend election period.

More information on Dividend Election in the "Corporate Governance Charter"