K+S Aktiengesellschaft: Adjustment of the dividend proposal to maintain the eligibility for KfW support
This leads to a total dividend payment of € 7.7 million (previously € 28.7 million). The dividend has to be adjusted in order to maintain the eligibility for a KfW state-secured loan.
In the course of the spread of the corona virus, K+S has implemented extensive measures to minimize the risk of infection at the manufacturing sites. This has enabled production to be maintained at almost all locations. The efficiency losses associated with these measures and the short-term, corona-related downtimes of some smaller sites had a negative impact on the quarterly result of just € 10 million.
However, the important contract between large potash producers and Chinese customers was delayed until the end of April due to the corona pandemic, which has an impact on the expected recovery in potash prices this year. To this end, further burdens from the corona pandemic cannot currently be ruled out.
Due to the continuing uncertainty on the capital and financial markets about the economic consequences of the crisis, it cannot currently be ruled out that liquidity sourcing will be made significantly more difficult.
Against this background, K+S is examining all options available to ensure financial flexibility and liquidity. A state-secured KfW loan is one of these options.
K+S considers itself a customer-focused, independent minerals company for the Agriculture, Industry, Consumers, and Communities segments. Our more than 14,000 employees enable farmers to provide nutrition for the world, solutions that keep industries going, improve daily life for consumers and provide safety in the winter. We continually meet the growing demand for mineral products from production sites in Europe, North and South America as well as a worldwide sales network. We strive for sustainability because we are deeply committed to our responsibilities to people, environment, communities and economy in the regions in which we operate. Learn more about K+S at www.kpluss.com.