On 14 November 2018, the directors approved a dividend (number 88) of 17 US cents per share which will be paid to shareholders on 14 January 2019. This dividend was declared after year-end and was not included as a liability at the end of the financial year.
The 2018 dividend is covered three times by basic earnings per share, excluding non-cash special items. The group aims to declare ongoing annual dividends, and over time achieve a long-term average earnings to dividend ratio of three to one.
The directors have resolved to declare a gross dividend (number 88) of 17 US cents per share, payable in ZAR at an exchange rate (US$1=ZAR) of 14.43176, being ZAR245.33992 cents per share, for the year ended 30 September 2018 out of income, in respect of Sappi ordinary shares in issue on the record date as detailed below. Holders of Sappi “A” ordinary unlisted shares in issue on the record date shall be entitled to receive 8.5 US cents per share being 50% of the ordinary dividend so declared.
The South African dividend tax (DT) rate is 20% and the net dividend payable to shareholders who are not exempt from DT is ZAR196.27194 cents per share. Sappi currently has 557 202 573 ordinary shares in issue. The income tax reference number is 9175203711.
In compliance with the JSE Listings Requirements the salient dates in respect of the dividend are detailed below:
Declaration and finalisation date: 15 November 2018
Last day to trade to qualify for the dividend: 15 November 2018
Shares commence trading ex-dividend: 9 January 2019
Record date: 11 January 2019
Payment date: 14 January 2019
Dividends payable to shareholders on the South African register will be paid in South African Rand and all dividends attributable to holders of the ADR shares on the NYSE will be dealt with in accordance with their custody agreements in place with their local custodian.
Certificated shareholders who previously held their shares on the UK register, which has subsequently been discontinued, shall be paid in Pounds Sterling at the ruling exchange rate at the time.
No currency elections are permitted.
All shareholders need to ensure that their current bank mandates with their service providers are up to date. Furthermore, shareholders who have not yet done so, should submit their service providers with their tax numbers and other relevant information for dividend tax purposes. Where shareholders qualify for withholding tax exemptions they need to ensure that such exemption applications have been lodged with their service providers.
Certificated and own name shareholders can call Computershare in South Africa on 0861 100 950 for assistance in this regard.
Share certificates will not be dematerialised or rematerialised from 9 January 2019 to 11 January 2019, both days inclusive.