Saint-Gobain: reinvestment of about 65% of 2008 dividend

Saint-Gobain“s dividend reinvestment option received positive response from shareholders, which regarded 64.8% of the total dividend to be paid in stock. This high reinvestment rate, which allows Sai…

Saint-Gobain“s dividend reinvestment option received positive response from shareholders, which regarded 64.8% of the total dividend to be paid in stock. This high reinvestment rate, which allows Saint-Gobain to strengthen its equity by EUR315 million, confirms shareholders“ confidence in the Group“s strategy and long-term growth outlook. A total of 13.8 million new shares, equivalent to 2.8% of outstanding shares were to be issued and delivered on 2 July 2009, will carry rights to the 2009 dividend and will rank pari passu to existing shares from the issue date. An application for the new shares to be listed on NYSE Euronext Paris was made on 2 July. The share issue was expected to increase Compagnie de Saint-Gobain“s share capital to EUR 2,052 million as of 29 June, represented by 512.9 million ordinary shares with a par value of EUR 4 each, all fully paid and all in the same class. Cash dividends for a total of EUR 171.3 million were also paid on 2 July. During the Annual General Meeting held on 4 June 2009, shareholders of Saint-Gobain approved payment of a 2008 dividend of EUR 1 per share and the option to receive the dividend in cash or in Saint-Gobain shares issued at a price of EUR 22.83 per share. Shareholders choosing the stock dividend alternative were required to notify the company between 10 and 24 June 2009.