Deutsche Bank to boost dividend by healthy 13pc

24th March 2005, Comments 0 comments

24 March 2005, FRANKFURT - German banking giant Deutsche Bank said Thursday it plans to boost its shareholder dividend by 13 percent to EUR 1.70, after the bank's strong 2004 performance.

24 March 2005

FRANKFURT - German banking giant Deutsche Bank said Thursday it plans to boost its shareholder dividend by 13 percent to EUR 1.70, after the bank's strong 2004 performance.

In releasing final full business figures for 2004, the bank reported that net income last year came to EUR 2.472 billion (US$ 3.22 billion), well up on the EUR 1.365 billion in 2003.

Earnings per share in 2004 came to EUR 4.53 net of taxes, almost double the EUR 2.31 the year before.

The bank noted that the final audited net income figure was EUR 74 million less than the preliminary figure given on 3 February. This reflected charges incurred from the settlement agreement in the Worldcom class action suit.

The bank also disclosed that the head of the board of managing directors, Josef Ackermann, earned EUR 10.1 million in 2004, down from EUR 11.1 million.

Deutsche Bank said that last year the total compensation paid to the board was EUR 25.1 million, a 10 percent decrease from 2003.

In remarks accompanying release of the full 2004 report, Ackermann said "2004 was a success for Deutsche Bank in many ways. We strengthened the strategic positioning of our core businesses. We laid vital foundations for the future, by investing in growth areas and by realigning our business structure for maximum effectiveness".

Analysts note that Deutsche Bank and Ackermann in particular came in for massive criticism in February in announcing further major payroll reductions at the same time that the bank had nearly doubled its profits.

In 2004, Deutsche Bank reduced its payrolls by some 2,200 to a year-end level of 65,417 employees. Of that total, employees in Germany at the end of 2004 totalled 27,093, down by almost 2,800 from twelve months previously.

On the Frankfurt Stock Exchange, Deutsche Bank shares showed a slight gain of 0.38 percent, to EUR 66.45, in early trading while the final 2004 results were being published.

DPA

Subject: German news

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