FT shareholders say ‘non’ to dividend cut proposal

6 Jun 2012

Shareholders of France Telecom-Orange (FT-Orange) have rejected a proposal put forward by employee shareholders which would have seen dividend payouts cut by almost 30%. 93% of shareholders at the firm’s annual investors meeting voted in favour of the board’s plan to keep the 2011 dividend at the previous year’s level of EUR1.40 (USD1.75) per share, Reuters reports. Employees of FT-Orange were proposing that the company cut its annual shareholder dividends for 2011 in order to free up capital to reduce the group’s debts or fund further network investments. The telco has stated, however, that it is likely to introduce dividend cuts for 2012 and 2013 in the face of increasing competition in its domestic market.

France, Orange Group