Dividends

NLMK shares are free-floating and traded on the Moscow Stock Exchange, among other platforms. Currently, most of the Company’s securities transactions are made on the stock market via brokers, i.e. professional participants of the securities market with a corresponding licence. To buy NLMK shares, consult a broker and sign a service agreement with them. Brokers allow clients to buy and sell stock market securities independently using dedicated software.

In order to formalize ownership rights for shares bought outside of the stock market, we recommend consulting the registrar keeping the register of NLMK shareholders.

Resolutions about dividend payout (declaration), the amount and form of their payment, and the date on which the list of persons entitled to dividends is determined are adopted by the General Meeting of Shareholders based on recommendations of the Board of Directors.

In line with Art. 42 Cl. 6 of Federal Law No. 208-FZ “On Joint-Stock Companies”, the period of dividend payment to nominee shareholders and professional securities traders serving as trustees, included in the Shareholder Register, shall not exceed 10 working days. For other persons included in the Shareholder Register, it shall not exceed 25 working days from the date when the list of persons entitled to dividends is determined.

Information about resolutions by the NLMK Board of Directors and General Meeting of Shareholders, including those related to dividend payment, is published in the following sections: Press releases and Statements of material facts.

Dividends to shareholders whose shares are registered to a nominal holder (a depositary) are transferred to the depositary, who, in turn, transfers the due dividends to the shareholders’ bank accounts.

Dividends to individuals whose shares are recorded in the Company’s Shareholder Register are paid out by transferring funds to their bank accounts, if the Company’s Registrar has their bank account details. If such details are not available, the funds are transferred via money order.

We strongly advise you to specify your bank account details for receiving dividends through bank transfer, to benefit from the following advantages:

• Significantly shorter dividend delivery time compared to money order.
• Dividends are received at a time convenient for the shareholder (unlike when dividends are sent by money order, they are not returned if the shareholder does not receive the funds at the post office before the expiration date).

Once the filled in form is provided, the dividends not received by the shareholder will be transferred to the bank account details indicated in the form. There is no need for filing additional requests.

Please note that it is necessary to keep your data and details updated (including bank account details) by amending your account information accordingly. Such details include Russian passport number (or other identification document, including non-Russian passport), date of birth, Taxpayer Identification Number (or confirmation that you don’t have one), registration address and residence address, and the bank account details required for dividend transfer. To update your data, please consult NLMK’s registrar or the nominee shareholder keeping your shares.

Please note that in line with Art. 42 Cl. 9 of Federal Law No. 208-FZ “On Joint-Stock Companies”, a person who has not received the dividends declared due to the Company or the registrar not having the accurate and necessary address or bank details, or due to another delay of the creditor, shall be entitled to demand the payment of such dividends (unclaimed dividends) within three years from the date when the resolution on their payout was adopted. Once the period for unclaimed dividend payout requests expires, it cannot be prolonged, except cases when the person entitled to dividends did not make this request under coercion or threat.

Once this period expires, all unclaimed declared dividends are recovered into the Company’s undistributed profits, and the obligation to pay them out ceases.