Far Eastern New Century Corporation (“FENC”, or “the Company”) held its 2014 board of directors’ meeting on March 19 2014. In the meeting, the board of directors resolved to accept the financial report of FENC for the fiscal year 2013, the proposal for distribution of 2013 profits, and the proposal to alter the accounting policy related to the investment property measurements, etc.
FENC’s net income for the fiscal year 2013 reached NT$ 7.207 billion, translating into an earnings per share of NT$ 1.40 (divided by the outstanding shares of 5.15 million shares). The Company has proposed to pay a dividend of NT$ 1.50 per share, comprising of a cash dividend of NT$ 1.30 per share and a stock dividend of NT$ 0.20 per share. The dividend payout amount will excess the corresponding net income, evidence that the management team reasserts its commitment for the consistent dividend policy and are very optimistic about the company’s future growth prospects and are confident in creating greater shareholder value.
Companies are now able to recognize an investment property fair value on their book value that will more closely reflect its market value as a result of the Financial Supervisory Commission’s newly amended regulations. Upon adapting to the new regulations, FENC mentioned it will increase the Company’s total investment property value, and as a result, its shareholder’s equity is expected to increase accordingly. FENC currently has total land holdings of 560k pings in Taiwan, of which 210k pings, are classified as investment properties, most of which are prime locations. For example, Tpark in Banciao, Taipei Metro Tower, New Banciao District and new office buildings in New Taipei City. FENC also indicated that it has requested an appraisal report from a world-renowned real estate services company, and the market value of investment properties will be announced along with its first quarter 2014 financial report.
