New Shareholder Return policy

Belgacom's shareholder return policy remained unchanged since the IPO in March 2004.  Over the past years, however, Belgacom has returned to its shareholders cash amounts significantly exceeding the stated dividend policy of 50% to 60% of Group net income, this under the form of dividends, interim dividends and share buybacks.

To increase the transparency of its future shareholder remuneration, Belgacom's management proposed to the Board of Directors a new shareholder return policy that clearly reflects the company's overall shareholder remuneration intentions.

On 25 February 2010, the Belgacom Board of directors approved the shareholder return policy to be as follows:

Belgacom commits to an attractive shareholder remuneration policy by returning, in principle, most of its annual free cash flow, to its shareholders.

The return of free cash flow either through dividends or share buybacks, will be reviewed on an annual basis, in order to keep strategic financial flexibility for future growth, organically or via selective M&A, with a clear focus on value creation. This also includes confirming appropriate levels of distributable reserves.

From the financial result of the year 2010, Belgacom expects to return an annual dividend of 2.18 euro per share, payable in two tranches: an interim dividend of 0.5 euro per share and a normal dividend of 1.68 euro per share. 

The shareholder remuneration policy is based on a number of assumptions regarding future business and market evolutions, and may be subject to change in case of unforeseen risks or events outside the company's control. 

Ordinary dividend 2009: EUR 1.68 per share

On 25 February 2010, the Board of Directors decided to propose an ordinary dividend of EUR 1.68 per share to the Annual Shareholder Meeting of 14 April 2010. 

• Ex-dividend date: 20 April 2010
  
• Record date: 22 April 2010
  
• Payment date : 23 April 2010

Interim dividend 2009: EUR 0.40 per share

In October 2009, the Belgacom Board of Directors approved the payment of an interim dividend for a gross amount of EUR 0.40 per share (net amount of EUR 0.30 per share).

• Ex-dividend date: 1 December 2009
  
• Record date: 3 December 2009
  
• Payment date : 4 December 2009