KPN promises more cash for investors

11 May 2004

KPN chief executive Ad Scheepbouwer has committed to returning more cash to investors. His pledge comes hard on the heels of an earlier announcement that his company has no immediate plans to pursue the takeover of UK-based mobile operator mmO2. Scheepbouwer said he took seriously the promise to return excess cash to shareholders, which could take the form of another buy-back on top of the proposed interim dividend payout in August. KPN has already spent EUR289 million as part of a EUR500 million share buy-back after the collapse of talks with mmO2 in February. At the time the announcement to repurchase shares quelled mounting speculation that the Dutch company was planning to buy its UK rival and yesterday Scheepbouwer confirmed that he was devoting his efforts to growing the company organically.

Netherlands, KPN