Amid the COVID-19 pandemic and the negative affects that has brought for the economy, the Norwegian-based engineering company, Kvaerner is setting precautions so as to reduce any negative influence of the virus upon ongoing projects and future business opportunities.
Specifically, Kvaerner plans to propose at its scheduled general meeting to not pay dividends and a zero increase in the compensation to the company’s directors.
In light of the situation, the company’s CEO proposed a 10% reduction to his annual base salary in order to support the company during this oil price war and the coronavirus outbreak.
Additionally, Kvaerner keeps monitoring the latest developments related to the COVID-19, with deep concern and full commitment, as it has set all the necessary safety measures for the employees’ protection.
At the same time, the Kvaerner board of directors came in an agreement with company’s administration and presented a request to the shareholders of Kværner to not accept the previously proposed dividend of NOK 0.50 ($0.042) per share.
In case that the Annual General Meeting on March 24, 2020 accepts this proposal, no dividend will be distributed at this time. Meaning, that Kvaerner will be able to manage the situation and deliver future results to its shareholders.
Moreover, Nomination Committee has amended its proposal to the General Meeting while gave its proposal of a zero increase in the compensation to the directors of the board.
Concluding, the company made the decision to offer $421.370 to each of the municipal health authorities in Stord and Verdal, to support the fight against the coronavirus.
