Norilsk to Pay at Least $2Bln Dividend | Business | The Moscow Times

Norilsk to Pay at Least $2Bln Dividend | Business | The Moscow Times:

"Norilsk Nickel, the world's biggest nickel and palladium producer, has lowered its dividend target for 2013-14, its co-owner, aluminum giant RusAl, said Tuesday, as oversupply in its key market hurts prices.

Norilsk, which paid $1.9 billion in dividends for 2012, was expected to pay at least $3 billion for 2013 and 2014 but in September its co-owner Vladimir Potanin warned it would have to change its dividend policy due to falling prices.

RusAl said Tuesday that it and Potanin had agreed that Norilsk would now pay 2013 and 2014 dividends of not less than $2 billion per year. The annual payment is expected to be equal to 50 percent of its earnings before interest, taxation, depreciation and amortization, or EBITDA.

Norilsk had $1.8 billion in cash and cash equivalents as of June 30, while its 2013 EBITDA is expected at about $4 billion, according to analysts' consensus estimate."

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