Modern Times Group MTG AB is the Group’s parent company and is responsible for Group-wide management, administration and finance functions, and also holds shares in the parent companies of the various operating business areas. MTG’s financial policy includes providing a central cash pool or financing through internal loans to support the operating companies.
The MTG parent company reported net sales of SEK 52 (68) million in 2009. Net interest and other financial items totalled SEK 1,259 (178) million, and included for 2009 SEK 1,305 million of dividends from subsidiaries. Parent company income before tax amounted to SEK 1,107 (27) million. No investments in non-current assets were made in 2009. Cash and cash equivalents at the end of the year amounted to SEK 536 (59) million. SEK 3,100 (1,960) million of the total 6,600 million available credit facilities were unutilised as at 31 December 2009.
Environmental impact
The Company does not own or operate any businesses in Sweden subject to an obligation to report to authorities or require compulsory licensing, but MTG choses, on a voluntary basis, to report our environmental impact for travel and offices in our Modern Responsibility Report.
Proposed appropriation of earnings
The following funds are at the disposal of the shareholders as at 31 December 2009 (SEK):
| Premium reserve |
87,309,238 |
| Translation reserve |
103,257,339 |
| Fair value reserve |
8,001,427 |
| Retained earnings |
7,681,655.222 |
| Net profit for 2009 |
1,143,812,854 |
| Total |
8,817,521,402 |
The Board of Directors propose that a SEK 5.50 dividend per share be paid to shareholders for the twelve months ended 31 December 2009 and that the remaining amount be carried forward, of which SEK 87 million to the premium reserve, SEK -103 million to the translation reserve, and SEK 8 million to the fair value reserve. The total proposed dividend payment would amount to a maximum of SEK 365,779,321, based on the maximum potential number of outstanding shares as at the record date, and represent 28% of the Group’s normalised reported net income for the full year 2009.
The Board of Directors will also propose that the Annual General Meeting authorises the Board of Directors to resolve to buy back MTG Class A and Class B shares on one or more occasions for the period up until the Annual General Meeting in 2011, but not exceeding 10% of the number of issued shares. The proposal aims to create flexibility in the work with the company’s capital structure.