The RF State Duma adopted the amendment to the Joint Stock Companies Act that specifies the concept of net profit from which the dividends are to be paid.
According to the law the dividends shall be paid from the company net profit and the amendments explain the notion of the net profit itself – the net profit as per accounting reports shall be the source of the dividends payment.
Some companies, including the oil converters, deducted the capital investments from the dividend payment base to reduce the shareholders payments.
The amendments shall be effective as of July 1, 2004.
