Azovstal (AZST) Might Direct A Majority Of 2004 Net Income To Dividends

According to AZST’s CEO Alexey Belyi, the company will consider paying dividends at levels similar to other companies owned by System Capital Management (SCM). Severny GOK (SGOK) and Central GOK (CGOK), for example, spent 95 percent and 60 percent of their 2004 net incomes on dividends, respectively. Concorde Capital: It seems that SCM (controlled by Rinat Akmetov) is attempting to move most of its 2004 earnings to safer places than Ukraine. Recent inspections by the state and criminal cases against SCM?s management companies suggest that the new authorities are trying to weaken the most powerful business group in Ukraine. AZST increased 2004 net income four-fold to USD 193 mn, an earnings per share of USD 0.06. AZST said it would not pay dividends for 2004, at its AGM last year.