Introduction

This policy outlines Cherat Packaging Limited’s approach to declaring and distributing dividends, balancing shareholder returns with company growth needs.

Objectives

• Provide consistent shareholder returns.
• Maintain financial flexibility for growth.
• Balance shareholder rewards with retained earnings for future growth.

Dividend Declaration

Dividends are declared at the Board’s discretion, considering:

• Profitability and financial condition.
• Cash flow and capital needs.
• Legal and regulatory requirements.
• Contractual obligations.

Types of Dividends

Dividends may be:

• Cash Dividends:  Regular cash payments.
• Stock Dividends: Additional shares.

Payment Frequency

Dividends are typically paid quarterly, bi-annually or annually as appropriate.

Retained Earnings

Earnings are retained to:

• Fund growth and capital expenditures.
• Maintain financial stability.
• Comply with legal requirements.