Strategy of Dividends Distribution
If there are any retained earnings in the year-end, the Company shall first pay tax and make up for the accumulated deficits, and then set aside 10% of such earnings as a legal reserve, unless the legal reserve has reached the Company’s total capital. If necessary, the special reserve shall be set aside or reversed as required by law or by the competent authority.
The Company will take into account the environment and growth of the Company, its future capital requirements and long-term financial planning, as well as the shareholders’need for cash, and will propose by the Board of Directors, together with the accumulated undistributed earnings from the previous year, to set aside 10% to 80% of the available earnings for distribution. When new shares are issued, a resolution shall be submitted to the shareholders’ meeting to distribute dividends to shareholders. However, the ratio of new shares to be issued for the earnings distribution may be adjusted by a resolution of the shareholders’ meeting, depending on the actual profitability and capital position of the year; of which the cash dividends shall not be less than 10% of the total dividends. The Company authorizes the Board of Directors, with the presence of at least two-thirds of the Directors and a resolution of a majority of the Directors present, to distribute all or part of the dividends and bonuses, legal reserve and capital reserve in the form of cash and report the same to the shareholders’ meeting.
We have adopted "Dividend eNotice" for dividend payment and welcome you to apply for Love Earth.