Source Pravda.Ru

Putin signs amendments to law on joint-stock companies

Russian President Vladimir Putin signed a federal bill on changes and additions to the federal law on joint-stock companies that was adopted by the Russian State Duma on October 11, 2002 and approved by the Russian Federation Council on October 16, the Russian leader's press service reported. This law establishes joint-stock companies' right to pay dividends according to the company's performance at the end of the first quarter, half-year, nine months and a year as well as stipulates measures aimed at protecting the holders of preferred shares' financial rights. Additionally, joint-stock companies will be able to increase the amount of paid dividends by taking into account the profit that serves as a basis for paying dividends, and the profit of previous reporting periods of the financial year. This measure will contribute to improving the rate of return of shares, which, in turn, will boost the capitalization of joint-stock companies and enhance their investment attractiveness.

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