ProsiebenSat.1 CFO says to keep dividend payout in place

Reuters

FRANKFURT, Nov 17 (Reuters) - Germany's ProSiebenSat.1 plans to keep its dividend policy in place as ittargets a record result in 2013 and its big financialshareholders continue to sell down their stakes in thebroadcaster, its finance chief said.

"We have a clear proposition: 80-90 percent of adjusted netprofit goes to the shareholders and we are sticking to that evenafter the exit of the financial investors," Chief FinancialOfficer Axel Salzmann told financial daily Boersen Zeitung in aninterview.

ProsiebenSat.1 still sees itself headed for record earningsand meeting all its financial targets in 2013, Salzmann said.

Financial investors KKR and Permira boughta controlling stake in ProSiebenSat.1 in 2006 and merged it withSBS Broadcasting, a media group they had acquired a yearearlier. Since then they have been exiting their investment instages.

The two investors on Wednesday placed 35 million shares inthe broadcaster, cutting their stake to 17 percent from 33percent and sending ProsiebenSat.1's share down sharply.

Salzmann said paying down debt or making investments werenot better uses for the company's net profit than the dividend.Investments could be funded out of current cash flow, he said.

Analysts on average see ProsiebenSat.1 paying a dividend of1.46 euros per share for 2013 based on net profit of around 390million euros, according to Thomson Reuters I/B/E/S.

ProsiebenSat.1 paid a dividend of 5.63 euros per commonshare for 2012, which included a special dividend that allowedshareholders to profit from the sale of its operations inScandinavia. It paid a dividend of 1.15 per share for 2011.

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