Lanxess to Maintain Dividend at 50 Cents
German chemical producer Lanxess plans to hold its 2014 shareholders' dividend at the 50 cents per share it paid for 2013. At this level, the company's management board headed by CEO Matthias Zachert will propose to the annual general meeting in May a total payout of €46 million.
"Despite the challenges it faces, Lanxess is still following a consistent dividend policy," said Zachert. "Even as we work on our realignment, we intend to give our shareholders an appropriate share in our company's success."
The CEO said key factors in the dividend decision were that Lanxess was able to reduce its net financial liabilities faster than expected in 2014, to around €1.3 billion, and that it has a very sound liquidity position.
"We are making good progress with our realignment. Year on year, we have increased earnings and also substantially reduced our debt by around €400 million," Zachert added.
Final results for 2014 are due to be announced on March 19.
