AGL Energy Limited (AGL) announced today that it had amended the terms and conditions of its Dividend Reinvestment Plan (DRP) to vary the basis on which Participants’ share entitlements are determined and the resultant treatment of residual balances.
Commencing with the FY16 interim dividend in February 2016, the number of shares to be allocated to Participants will be calculated by dividing the total dividend payment due (plus any carried forward DRP Account residual balance), by the relevant Market Price.
In applying this calculation, a small residual cash balance typically remains after determining whole numbers of shares to be allocated. This residual balance will now be carried forward in each Participant’s DRP Account. This residual balance will be added to the amount of the next subsequent dividend to determine the number of shares to be allocated in respect of that next dividend.
Previously, share allocations were determined by rounding up fractional entitlements to the next whole number of shares, meaning there was no residual balance to be carried forward.
Attached is a copy of the amended DRP Terms and Conditions which will also be forwarded to plan participants. This document is also available on AGL’s website.
AGL is one of Australia's leading integrated energy companies and largest ASX listed owner, operator and developer of renewable energy generation in the country. Drawing on over 175 years of experience, AGL operates retail and merchant energy businesses, power generation assets and an upstream gas portfolio. AGL has one of Australia's largest retail energy and dual fuel customer bases. AGL has a diverse power generation portfolio including base, peaking and intermediate generation plants, spread across traditional thermal generation as well as renewable sources including hydro, wind, landfill gas and biomass. AGL is taking action toward creating a sustainable energy future for our investors, communities and customers.