CIR: Financial Statements for 2015 approved, dividend of € 0.044 per share

2016 Annual General Meeting


Milan, April 29 2016
– The ordinary Annual General Meeting of the Shareholders of CIR-Compagnie Industriali Riunite S.p.A. was held today in Milan under the chairmanship of Rodolfo De Benedetti.

Approval of Financial Statements for 2015

The Shareholders’ Meeting approved the financial statements for the year 2015. The CIR group closed the year with consolidated revenues of € 2,544.4 million, up by 6.3% from € 2,392.6 million in 2014. EBITDA came in at € 218.2 million, up by 10.9% from € 196.8 million in the previous year. The net income of the group came to € 42 million versus a loss of € 23.4 million in 2014. The parent company of the group CIR S.p.A. reported a net loss of € 8.4 million for 2015 compared to a net loss of € 27.4 million in 2014.

The Shareholders approved the distribution of a unit dividend of € 0.044. The dividend will be paid out on May 25 2016 on detachment of coupon no 22 on May 23 and with record date May 24.

Authorization to buy back own shares and Stock Grant Plans

The Shareholders renewed for a period of 18 months their authorization of the Board of Directors to buy back a maximum of 40 million own shares, with a maximum disbursement limit of € 40 million, at a unit price that may not be more than 10% higher or lower than the price recorded by the shares on regulated markets on the trading day preceding each individual transaction. The main reasons why this authorization is being renewed are, on the one hand, the possibility of investing in shares of the company at prices below their actual value based on the real economic value of its equity and its income generating prospects, and on the other hand, the possibility of reducing the company’s average cost of capital. CIR S.p.A. intends to proceed with the share buyback, in accordance with and in execution of the authorization given today by the General Meeting of the Shareholders, starting from Monday May 2 2016. If any purchases are made, CIR will inform the market once a week of the deals entered into. In the event of extremely low levels of liquidity, the company anticipates that in certain sessions it may exceed the limit of 25% of the average daily volume for the twenty trading days preceding the date of the buyback, but in any case the maximum number of own shares that can be bought back will not exceed 50% of the average daily volume. EQUITA SIM S.p.A. is the broker who has been given the mandate to buy back the shares. To date, CIR has in its portfolio 122,699,393 ordinary shares, corresponding to 15.45% of its share capital.

The Shareholders also approved the Compensation Report and the Stock Grant Plans for 2016 for directors and/or executives of the company, its subsidiaries and its parent company for a total maximum of 2,400,000 conditional rights, each of which will give the beneficiaries the right to be assigned free of charge 1 CIR share. The shares assigned will be made available from the own shares that the company holds as treasury stock.

Lastly, the Annual General Meeting awarded the mandate for the legal audit of the Company’s accounts to the firm KPMG S.p.A. for the years 2017-2025.

Meeting of the Board of Directors

Today the Board of Directors of CIR S.p.A. also met. In accordance with the powers assigned to it by the Annual General Meeting of the Shareholders, the Board of Directors implemented Stock Grant Plans 2016 by assigning 1,750,000 rights.

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