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Interim Dividends Not Yet Hot

Apr 23,2001

Over 70 listed companies have introduced interim dividends but only eight have actually put them into action. Interim dividends are announced and paid during the course of a firm's business year, before the company's performance over the course of the full year is known.

According to the Korea Stock Exchange Sunday, 71 companies, 10 percent of all listed companies, have made provision for interim dividends in company articles as the end of February.

Except for the eight cases, however, those companies have been very slow to implement their plans to pay such dividends.

"Despite the current status, we expect the number of companies paying interim dividends to increase, because it increases the earnings of shareholders and induces more active trading of a company's stock in the market," an official at the stock exchange said.



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