The FINANCIAL — At Swiss Re's upcoming Annual General Meeting (AGM) on 11 April 2014, the Board of Directors proposes an ordinary dividend of CHF 3.85 per share and an additional special dividend of CHF 4.15 per share, according to Swiss Re.
As Swiss Re aims to be fully compliant with the Swiss federal "Ordinance Against Excessive Compensation at Public Corporations" ahead of schedule, the Board proposes to make all necessary amendments to Swiss Re's Articles of Association already in 2014. The Board of Directors further proposes the election of Susan L. Wagner as a new independent member. As of today, shareholders also have access to Swiss Re's 2013 Annual Report "Open minds connecting generations" and the Economic Value Management (EVM) 2013 report, according to Swiss Re.
Based on Swiss Re's very strong 2013 performance, the Board of Directors proposes to increase the ordinary dividend to CHF 3.85 per share, up from last year's CHF 3.50 per share. In addition, a special dividend of CHF 4.15 per share is proposed. If approved by shareholders at the Annual General Meeting, the dividends will be paid out on 22 April 2014. This planned return of approximately USD 3.1 billion in capital to shareholders reflects the Group's excellent capital base and its strong capital position.
"We followed a clear capital management policy over the past few years: growing our regular dividend in line with long-term earnings was our highest priority, followed by business growth where it meets our profitability targets. As a result, Swiss Re has returned more than half of the net income to shareholders each year since 2009. If the dividend proposals are approved by the AGM in 2014, the payout ratio as a percentage of net income will increase to 71% from 66% in 2013," said Walter B. Kielholz Swiss Re Chairman.
Corresponding to best corporate governance standards, the Board of Directors proposes to be fully compliant with the "Ordinance Against Excessive Compensation at Public Corporations" (the Ordinance) ahead of mandated implementation dates. As a consequence, Swiss Re has decided to put forward all necessary changes to its Articles of Association at the AGM on 11 April 2014, according to Swiss Re.
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