In accordance with Indonesian laws and regulations, decisions regarding dividend distribution are determined through shareholder approval at the Annual General Meeting of Shareholders (“AGMS”) based on a recommendation from the Company's Board of Directors. The Company may distribute cash dividends in the year in which the Company records positive retained earnings. The Articles of Association of the Company allows the distribution of interim cash dividends if the interim cash dividends do not cause the net asset value of the Company to be less than the issued and paid-up capital and with due observance of the provision for statutory reserves as required in the Company Law. The distribution will be determined by the Company's Board of Directors after being approved by the Board of Commissioners. If at the end of the financial year the Company suffers a loss, the distribution of interim dividends must be returned by the shareholders to the Company, and the Board of Directors together with the Board of Commissioners will be jointly and severally responsible if the interim dividends are not returned to the Company.
By consistently considering business prospects, working capital needs, capital expenditures and investment plans of the Company in the future, the financial condition of the Company from time to time and without prejudice to the right of the GMS to determine otherwise in accordance with the Articles of Association of the Company and with due observance of the prevailing laws and regulations, the Company has a dividend policy to pay dividends to the shareholders of the Company in the maximum amount of 20% (twenty percent) of the Company's net income for the current year starting in 2017 based on the current year's net profit for the 2016 financial year. Determination of the timing, amount and form of dividend payment will depend on the recommendation of the Company's Board of Directors.
Dividend Policy for the Last 3 (three) Years is as follows:
|Total Dividends Distributed (IDR Billion)||14.90||30.67||9.58|
|Dividends per Share (IDR/Share)||4.86||10.06||3.15|