Nalco pays 20 per interim dividend

Bhubaneswar, Feb 21 (PTI) Navratna PSU NALCO hasdeclared an interim dividend of 20 per cent, which is Rs 2 pershare, amounting to Rs 128.86 crore for the financial year2010-11, on the paid-up equity share capital of Rs 644.31crore. �������A dividend cheque of Rs 112.29 crore on the 87.15 percent shares (amounting to Rs 561.50 crore), held by theGovernment of India was handed over to Union Minister of State(Independent Charge), Ministry of Mines Dinsha J Patel, byNalco CMD A K Srivastava in New Delhi today.

The balance amount of Rs 16.57 crore is being paid tovarious institutional and individual shareholders.�������Nalco, which started its commercial operations in 1987has been earning profits consistently and has been declaringdividends since 1992.

For the year 2009-10, the company had declared a totaldividend of 25 per cent. The company had earned a net profitof Rs 814 crore during the year 2009-10. During the currentfinancial year 2010-11, the company has provisionally earnednet profit of Rs 764 crore up to December 2010.�������Since its inception, Nalco has paid Rs 16,362 crore asdividend and taxes to government exchequers� Rs 13,597 croreto Centre and Rs 2765 crore to state government.

������As on March 32, 2010, the company had reserves andsurplus amounting to Rs 9751 crore, which is more than 15times the paid capital of Rs 644.31 crore.

Considering the demands of the shareholders and theposition of the company, in terms of profits and expectedadditional profits on completion of ongoing second phase ofexpansion, the board has decided, subject to approval ofshareholders, to issue one bonus share for every one equityshare held by the shareholder.

Further to increase the liquidity of the shares in thecapital market, the board has also decided, subject tonecessary approvals, to split the nominal value of equityshare from Rs 10 to Rs 5. The company will issue two equityshares of Rs 5 each against, 1 equity share of Rs 10 existingas on date.

All the procedural actions to implement the splittingof equity shares and issue of bonus shares will be completedbefore 31 March 2011.