Following on from the withdrawal of dividend guidance on 18 November 2013, Chorus has elected not to pay an interim dividend.
|FY13 Final dividend||NZ15.5 cents per share, fully imputed.
Supplementary dividend paid to shareholders not resident in New Zealand NZ2.7353 cents per share
|FY13 interim dividend paid 12 April 2013||NZ10.0 cents per share, fully imputed
NZ1.7647 cents per share supplementary dividend paid to shareholders not resident in New Zealand
|FY12 dividend paid 5 October 2012 (for seven months to 30 June 2012 following Chorus' demerger)||NZ14.6 cents per share, fully imputed
NZ2.5765 cents per share supplementary dividend paid to shareholders not resident in New Zealand
FY14 dividend guidance
In light of the ongoing regulatory uncertainty facing Chorus, including the outcome of the Government’s independent review, Chorus has elected to withdraw its FY14 dividend guidance of 25.5 cents per share.
“At this time of unprecedented levels of investment by Chorus, withdrawing dividend guidance is a regrettable but necessary step in light of the ongoing uncertainty Chorus faces,” said Mark Ratcliffe, Chorus CEO.
Chorus is investing roughly three dollars in the Ultra-fast Broadband initiative for every dollar of financing provided by the Crown to support the delivery of the upgraded infrastructure, which is of critical importance to New Zealand’s future.
“We are proud of our role as the cornerstone partner in the Ultra-fast Broadband initiative, which is being delivered like clockwork.”
“We remain hopeful that as the major partner in New Zealand’s largest public private partnership we can work with the Government to find a timely solution to the current issues that works for all parties and provides Chorus and its investors with the certainty we need to get on with delivering this once in many generations infrastructure upgrade.”
Note: If at any time Chorus' credit rating falls below investment grade while Crown Fibre Holdings Debt Securities remain outstanding, Chorus will be prohibited from paying distributions on Chorus Shares without CFH’s approval, while its credit rating remains below investment grade.
Dividend Reinvestment Plan
The Chorus Board has approved the implementation of a Dividend Reinvestment Plan (the Plan). The Plan is intended to increase flexibility for eligible shareholders and provide Chorus with enhanced capital management.
Chorus has elected not to offer participation under the Plan to shareholders whose address is outside New Zealand or Australia.
Eligible shareholders can choose to have Chorus reinvest all or part of their future dividends in additional Chorus shares. This provides a cost effective and convenient way for shareholders to increase their investment in Chorus:
- There are no charges for participation in the Plan
- Shares purchased via the Plan do not incur brokerage fees
- Dividends are reinvested at a discount to the prevailing market price
On 1 August 2013 Chorus made some minor amendments to its Dividend Reinvestment Plan Offer Document, previously published in February 2013. The amendments are not material and there has been no change to how the Plan operates.
Here is the current Dividend Reinvestment Plan Offer document: