June 2021"AGL Energy to terminate Special Dividend Program for...

June 2021
"AGL Energy to terminate Special Dividend Program for remainder of FY21 and FY22 and underwrite the Dividend Reinvestment Plan on ordinary dividends until demerger"

TLDR: No longer 100% of underlying profit - reverts back to 75%.
"Under the Special Dividend Program, AGL anticipates paying special dividends of up to 25 percent of Underlying Profit after tax, thereby augmenting AGL’s dividend policy payout ratio of 75 percent to take the effective payout ratio to 100 percent of Underlying Profit after tax over this period"

"More details on dividend policy, including the share of free cash flow initially available, will be communicated in the demerger scheme documents. Thereafter, subject to Accel Energy Board discretion, it is anticipated Accel Energy will communicate expected dividends as a proportion of available free cash flow on a periodic basis. It is noted that the level of free cash flow available for dividends is likely to remain leveraged to movements in wholesale electricity prices."

Subject to AGL Australia Board discretion, given the relatively predictable and stable nature of its business, it is anticipated AGL Australia will target a dividend payout ratio range referable to underlying earnings after tax. Further detail of this dividend policy range will be communicated in the demerger scheme documents.

Feb22
We have defined distinct dividend policies and capital structures for each business that will support both future growth and appropriate returns to shareholders.