A-share Code: 601166 A-share Name: Industrial Bank No.: T 2015-17
Preferred Share Code: 360005 Preferred Share Name: IBPS1
Industrial Bank Co., Ltd.
Announcement on Implementation of Profit Distribution for 2014
The Company and all the members of the Board of Directors warrant the truthfulness, accuracy and completeness of the announcement and will bear the joint and several liabilities for any false record, misleading statement or major omission in the announcement.
Important content notes:
● A cash dividend of RMB 5.70 (tax included) will be paid out for each 10 ordinary shares, i.e. RMB 0.57 (tax included) for each ordinary share
● The after-tax cash dividends for each share: The cash dividends each share for individual shareholder and securities investment fund after withholding tax are RMB 0.5415; the cash dividends each share for qualified foreign institutional investors (QFII) after withholding tax are RMB 0.5130; and the cash dividends each share for accounts of Hong Kong Securities Clearing Company Ltd. after withholding tax are RMB 0.5130.
● Equity registration date: May 26, 2015
● Ex-dividend date: May 27, 2015
● Payment date for cash dividends: May 27, 2015
The 2014 profit distribution plan of Industrial Bank Co., Ltd. has been deliberated and approved by the 2014 General Shareholders’ Meeting which was held on May 18, 2015. The announcement concerning the resolutions of the General Shareholders' Meeting was published on the website of the Shanghai Stock Exchange and in China Securities Journal, Shanghai Securities News, Securities Times and Securities Daily. The detailed implementation of profit distribution plan is announced as follows:
I. 2014 Profit Distribution Plan
1. Year of payment: 2014
2. Taking the total 19,052,336,751 shares of the Company as the base, a cash dividend of RMB 0.57 (tax included) will be paid out for every share to all shareholders of ordinary shares listed on the register on the registration date of stock equity, and the total amount of cash dividends is RMB 10.860 billion.
II. Dates for the Implementation of Dividends Distribution
1. Equity registration date: May 26, 2015
2. Ex-dividend date: May 27, 2015
3. Payment date for cash dividends: May 27, 2015
III. Objects of Dividends Distribution
All shareholders of ordinary shares of the Company registered with Shanghai Branch of China Securities Depository and Clearing Corporation Limited (hereinafter referred to as “CSDC Shanghai Branch”) after the close of trading at Shanghai Stock Exchange on the afternoon of May 26, 2015.
IV. Measures for the Implementation of Dividends Distribution
1. Except for the shareholders specified as follows, CSDC Shanghai Branch is authorized by the Company to distribute cash dividends through its capital clearing system to the shareholders of the Company who were registered on the equity registration date and have conducted the designated transactions at membership units under Shanghai Stock Exchange. Those investors that have completed all designated transactions can withdraw cash dividends at the designated securities exchange on the date of payment for the dividends; for those shareholders that have not completed the designated transactions, the dividends will be temporarily kept under the custody of CSDC Shanghai Branch, and will be distributed after the designated transactions have been completed.
Cash dividends for shares held by Hang Seng Bank Limited and Fujian Xingyin Property Management Co., Ltd. will be paid directly by the Company.
2. In accordance with relevant provisions of the Notice on Issues Concerning the Implementation of Differential Individual Income Tax Policies on Stock Dividends of Listed Companies (Cai Shui [2012] No. 85), for individual shareholders and securities investment funds holding A-shares, 25% of all the stock dividends that they receive shall be counted as the taxable incomes temporarily at the applicable individual income tax rate of 20%. The company will withhold such tax at the actual rate of 5%, and the actual cash dividends to be distributed per share after tax will be RMB 0.5415.
When individual shareholders and securities investment funds transfer their stocks after the equity registration date, CSDC Shanghai Branch will calculate the actual tax amount payable according to their holding period. The part exceeding the withheld tax will be deducted from the corresponding individual capital account by stock custody institutions like a securities company and transferred to CSDC Shanghai Branch, which will then transfer the same to the Company within 5 workdays in the next month. The Company will declare and pay the said tax to the competent tax authorities within the legal declaration period for the month upon receipt of the same. The actual tax is specified as below: All the stock dividends that the shareholders receive shall be counted as the taxable incomes and the actual tax rate is 20% if their holding period is not more than a month; 50% of the stock dividends that they receive shall temporarily be counted as the taxable incomes and the actual tax rate is 10% if their holding period is more than a month but not more than a year; 25% of the dividends that they receive shall temporarily be counted as the taxable incomes and the actual tax rate is 5% if their holding period is more than a year.
3. In regard to qualified foreign institutional investors (QFII) holding shares of the Company, in accordance with relevant provisions of China, the Company will withhold the income tax at the rate of 10%, and the actual cash dividends to be distributed after tax per share will be RMB 0.5130. If relevant shareholders believe that the stock dividend and bonus incomes they received need to enjoy the treatments of tax treaties (arrangements), they may submit the applications themselves to the competent tax authorities after receiving said stock dividends and bonus pursuant to relevant provisions.
4. For A-share stocks of the Company invested by investors of the Stock Exchange of Hong Kong (including enterprises and individuals) in Shanghai Stock Exchange, the cash dividends will be distributed in RMB by the Company through CSDC Shanghai Branch according to the accounts of nominal stock holders. Taxes will be withheld in accordance with the Circular of the Ministry of Finance, the State Administration of Taxation, and the China Securities Regulatory Commission on Taxation Policies Concerning the Pilot Program of Interconnection Mechanism for Transactions in the Shanghai and Hong Kong Stock Markets (Cai Shui [2014 No. 81), and the income tax will be withheld at the rate of 10%, with the actual cash dividends to be distributed per share after tax being RMB 0.5130.
5. Those shareholders (including institutional investors) that hold the Company’s shares and are resident enterprises defined in the Enterprise Income Tax Law of the People’s Republic of China are required to pay the income tax for the received dividends by themselves, and the actual cash dividends to be distributed per share will be RMB 0.57 before tax.
6. Other non-resident enterprise shareholders whose enterprise income taxes are not withheld by the Company are required to pay the income tax of dividends by themselves.
V. Consulting Method
Consulting agency: General Office of the Board of Directors, Industrial Bank
Address: No. 154 Hudong Road, Fuzhou
Tel: 0591-87857530
Fax: 0591-87842633
VI. Documents for reference
Resolution of 2014 General Shareholders’ Meeting of the Company
It is hereby to announce as foregoing.
Board of Directors of Industrial Bank Co., Ltd.
May 21, 2015