Corporation "Kazakhmys" to allocate more profit to pay dividends

/IRBIS, July 14, 00/ - PANORAMA informs that on July 10 annual general meeting of OJSC "Corporation Kazakhmys" shareholders was held. The president of the corporation, Vladimir Kim said that this meeting differed from the others with one significant respect. As he said, till June 7, 2000 state block of shares belonged to South Korean "Samsung", and after the expiration of the contractual management term the state block, 35% of shares, was passed to 3 year management of the corporation "Kazakhmys", or to the president of the corporation, Mr. Kim. Now, the company "Samsung", which owns 42.4% of shares, and "Kazakhmys" with 35% of shares are working towards further development, he said. The major production indicators of the corporation from 1995 through 1999 were as follows: production of refined copper grew 273.5%, ore mining - 256.7%, power generation increased several times, which makes the corporation one of the major electricity generators in the nation. Investments into fixed assets are said to have equaled almost $345 mln within five years. Also, more than $100 mln of debt has been repaid. It required more than $500 mln to turn almost bankrupt enterprise into one of ten major copper producers of the world, is said. It is also said that the corporation has paid almost KZT50 bln taxes to the budget and off-budgetary funds, which makes a large portion of the budget of Karagandy region. Its contribution into the exports of the country is significant. It spends more than KZT1 bln to support social and cultural objects. The Board of directors of the corporation made a decision to allocate more profit compared to last year to pay the dividends, is said. In 1999 the dividends equal KZT871 per common and preferred share. Total amount of dividend is said to have equaled about $30 mln. The corporation plans to increase copper production and invest about $80 mln into the reconstruction and modernization of the production, development of ore resources (three sites are under development). It is said that additional profit will be used to reinvest and used to support social sphere, to implement environmental programs, is said. The work done by the Board of the corporation was considered satisfactory at the shareholders meeting. The meeting had following results. The report of the revision commission, year-end financial statements were approved, a decision was made to increase announced authorized capital of the company, conditions and terms of the company bond issue were approved. Besides, the changes and amendments were made into the Charter and the Regulations of the company management, the management of the company, the Board of directors and the revision commission, were elected.