TEL Amends Dividend Policy and Revises Dividend Forecast
Tokyo Electron Limited (TEL) announces that on November 2, 2010, the Companys Board of Directors adopted a resolution to amend the dividend policy as set forth below. In conjunction with the amendments, TEL revised the dividend forecast for the fiscal year ending March 2011.
1. Amendment of the Dividend Policy
The Company uses its internal capital reserves for priority investments in growth areas to raise corporate values through profit growth and returns profits to shareholders through the payment of performance-based and earnings-based dividends.
The Company will maintain its policy of actively investing in research and development, facilities, and human resources, the foundations for future growth, but following a medium term review of performance and financial standing, the Company decided to raise its consolidated dividend payout ratio as a direct return to shareholders.
(Changes to the Dividend Policy)
The target ratio of dividend payout to consolidated net income attributable to owners of parent will be raised from 20% to 35%.
(Start to apply)
The amendment of the dividend policy will apply from the year-end dividend for March 2011.
2. Revision of Dividend Forecast
Dividends Per Share(yen) | |||
End of Second Quarter | Fiscal Year End | Total | |
Previous forecast (announced July 30, 2010) |
34 | 37 | 71 |
Actual result | 38 | - | - |
Revised forecast | - | 64 | 102 |
Result for the previous fiscal year (fiscal year ended March 2010) |
4 | 8 | 12 |
3. Reason for the Revision of Dividend Forecast
In accordance with the amendment of the dividend policy described above, the forecast for the fiscal year-end dividend per share was revised.