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TVK shareholders reject board's proposal, vote to pay dividend

Shareholders of chemicals company TVK Rt decided at an annual general meeting on Thursday to pay a Ft 1.02 billion dividend on 2005's after-tax profit of Ft 5.558 billion, according to Hungarian Accounting Standards, newswire Bloomberg reported. The dividend calculates as Ft 42 per share.

TVK's board had proposed putting all of 2005's profits back into the company in order to make investments and pay back debts, but shareholders representing 98.83% of voting rights at the meeting decided otherwise. TVK’s largest shareholder is Hungarian oil and gas company Mol Rt.
TVK last paid a dividend in 1999, of Ft 175 per share. The board proposed paying out 15%-35% of after-tax profits as dividend in future.
In separate news, the AGM voted to appoint ex-premier Péter Medgyessy and Gyula Gansperger, former head of the State Privatization and Holding Rt (ÁPV) to the board of directors.