MTS in 2016 plans to adopt a new dividend policy

MOSCOW, Aug 18 - RIA Novosti/Prime. PJSC "Mobile TeleSystems" (MTS) in 2016 is planning to submit for the approval of the Board of Directors of the new dividend policy, said the Vice-President of MTS on Finance and investment Alexey Root.

"given that the current dividend policy will End this year, next year we will return to the Board of Directors for the utterance of a new dividend policy," he said in the course of a telephone conference. However, he said that strategically important payments are stable. Root added that he does not expect radical changes compared with the previous dividend policy.

Root has supplemented his words by the fact that spending on the construction of 3G networks in Ukraine, which in 2015-2016 are expected to total in the amount of fifteen billion, will not affect dividend payments.

in April 2013, MTS OJSC Board of Directors approved a dividend policy for 2013-2015, which is the minimum amount of dividend payments is determined as the greater of 2 values: a minimum of 75% of free cash flow MTS during the last fiscal year according to US GAAP or 40 billion rubles a year.

in 2013, MTS has paid dividends in the amount of 41 billion rubles, in 2014 - 51, 2 billion rubles. In 2015, the Company will pay a total shareholders 52 billion, of which 40, 4 billion paid by results 2014, eleven, 6 billion rubles will be the interim dividend for the first half.

MTS is the largest Russian operator of cellular communication. Its major shareholder is AFK Sistema, which owns 51, 46% of the share capital of the operator.


sections: Politics