Appropriation of available earnings

As proposed by the Board of Directors to the Annual General Shareholders’ Meeting of June 11, 2020:

CHF million



Balance carried forward from previous year



Net profit for the year



Voluntary retained earnings



Dividend distribution


0.0 1)

Balance to be carried forward


1,821.0 2)

1) The dividend distribution amount corresponds to the maximum aggregate nominal value of Sonova shares to be distributed (grossed up to account for Swiss withholding tax) and is subject to the number of shares outstanding on the last trading day with entitlement to receive the dividend, i.e. June 15, 2020. Treasury shares held by Sonova Holding AG and its subsidiaries are not entitled to dividends. The distribution amount will be reduced accordingly.

2) As the stock dividend will be sourced from Sonova shares which were repurchased by Sonova under the share buyback program 2018–2021 and are liquidated shares for Swiss tax purposes, the voluntary retained earnings will be reduced by the difference of (i) the average repurchase price of the Sonova shares bought back under the share buyback program multiplied by the number of Sonova shares distributed as stock dividend and (ii) the aggregate nominal value of these shares. The total reduction amount is subject to the number of Sonova shares distributed (maximum amount of CHF 97.1 million).

Stock dividend proposal

In view of the current economic environment and associated uncertainties, the Board of Directors deems it in the best interest of Sonova Holding AG to reduce the dividend amount compared with last year’s dividend and to distribute a stock dividend instead of a cash dividend, which helps preserving Sonova’s liquidity position. The required number of Sonova shares will be sourced from Sonova shares currently held in treasury, which were repurchased by Sonova under the share buyback program 2018–2021.

If the proposal of the Board of Directors is approved, the dividend distribution will be delivered in the form of registered shares of Sonova (“Sonova shares”). Each shareholder will be entitled to receive one Sonova share for 150 existing Sonova shares, which corresponds to a maximum of 430,000 shares (rounded) to be distributed. In case of fractional entitlements, the number of shares will be rounded down so that each shareholder will receive an integer number of Sonova shares, and the fraction will be paid out in cash (rounded to the nearest 5 centime). Sonova will sell on behalf of the respective shareholders such number of Sonova shares as corresponds to the aggregate amount of fractions and distribute the gross sale proceeds accordingly. Sonova will pay the 35% Swiss withholding tax on the (grossed up) nominal value per distributed Sonova share and the Swiss securities transfer tax incurred in connection with the sale of the Sonova shares to satisfy the fractional entitlements.

Dieser Abschnitt ist nur in englischer Sprache verfügbar.