LANXESS quadruples dividend

02 Jun '08

3 min read

The Board of Management and the Supervisory Board of specialty chemicals company LANXESS AG proposed to the stockholders at this year's Annual Stockholders' Meeting in Cologne that the dividend be significantly increased.

According to the proposal, LANXESS's dividend is to be quadrupled from 25 cents for 2006 to EUR 1.00 per share for 2007, putting it in line with those of other companies in the sector.

At the same time, this substantial increase reflects the company's successful strategy of profitable growth. The goal is to allow the stockholders, too, to share appropriately in the company's successful performance in 2007, following the performance-oriented bonus payments received by the employees.

The company plans to maintain this dividend policy in the future. “We want all our stockholders to benefit from the success of LANXESS in the coming years as well,” said Axel C. Heitmann, Chairman of the Board of Management of LANXESS AG, explaining the proposal.

Correct strategy enables raw material costs to be passed on “We have set the right course for the future success of LANXESS,” continued Heitmann.

“We will continue to consistently apply our successful price-before-volume strategy, which so far has enabled LANXESS to quickly pass on raw material price increases in full to its customers.”

The LANXESS Group's good start to 2008 also shows that the company is strategically aligned in the right direction. Sales were up by 8.1 percent year on year in the first three months on a portfolio- and currency-adjusted basis.

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