Preliminary results - 12 months ended 31 December 2006 01 March 2007
15. Dividends and appropriations
| 2006 £m | 2005 £m | |
|---|---|---|
| Ordinary dividends declared and charged to equity in the year | ||
| Final 2004 – 16.00p per share, paid on 17 May 2005 | - | 364 |
| Interim 2005 – 9.83p per share, paid on 17 November 2005 | - | 234 |
| Final 2005 – 17.44p per share, paid on 17 May 2006 | 418 | - |
| Interim 2006 – 10.82p per share, paid on 17 November 2006 | 275 | - |
| 693 | 598 | |
| Preference dividends declared and charged to equity in the year | 17 | 17 |
| Coupon payments on direct capital instrument - gross of tax | 52 | 42 |
| Total | 762 | 657 |
Subsequent to 31 December 2006, the directors proposed a final dividend for 2006 of 19.18 pence per ordinary share, £492 million in total, making a total dividend for the year of 30.00 pence per share (2005: 27.27 pence). Subject to approval by shareholders at the AGM, the dividend will be paid on 17 May 2007 and will be accounted for as an appropriation of retained earnings in the year ending 31 December 2007.
Interest on the direct capital instrument issued in November 2004 is treated as an appropriation of retained profits and, accordingly, it is accounted for when paid. Tax relief will be obtained at a rate of 30%.
Irish shareholders who are due to be paid a dividend denominated in euros will receive a payment at the exchange rate prevailing on 28 February 2007.
