UBB Shareholders’ Info

Dear shareholders, please, find below answers, relating to the payment of dividends by UBB AD, which will start after 02.05.2017. In case you query does not match any explanation below, please do not hesitate to contact us by: dialing our Call Centre at 070011717 or *7171; writing to us at info@ubb.bg; visiting a convenient UBB branch throughout the country.

Needed Documents

For individuals:

Question: What documents should I present to obtain my dividend as an individual?

Answer: The payment of dividends to the Bank’s individual shareholders is made following the verification of their identity via a presented and valid ID card and in case the data about the person and his/her shareholding participation has been duly registered in the system of Central Depository AD.

Question: I am a legal heir of an individual shareholder of UBB. What documents should I provide you with in order to receive my dividend and where can I obtain those from?

Answer: Payment of dividends to legal heirs of a deceased shareholder will be made upon presentation of a Financial Instruments’ Holder Certificate (depositary receipt), issued in the name of the legal heir by Central Depository AD / a registration agent, a Legal Heir Certificate and the inheritor’s ID card.

Payment of dividends to more than one heir will be made on condition that all legal heirs have appeared together at the dividend’s payment, or in case an individual has appeared, duly authorized by all legal heirs with a notarized explicit power of attorney for the dividend’s receipt.

Question: I presently live abroad and I am an individual shareholder of yours. How can I receive my dividend?

Answer: Payment of dividend to a proxy of a shareholder, residing abroad is possible, if the authorizer’s signature on the power of attorney has been attested by a notary public and the document itself contains explicit wording, empowering the proxy to receive the dividend, due to the particular shareholder. If the power of attorney has been certified by a foreign notary, then the document has to be apostilled by the respective country’s competent authorities (provided that the particular country is a signatory to the Hague Convention of 05.10.1961 abolishing the requirement for legalization of foreign public documents). In case that the respective country is not a signatory to the said convention, the notarial attestation has to be certified by the Ministry of Foreign Affairs of the Country, in which the document has been issued and also this certification has to also be re-certified by the Bulgarian Diplomatic Representative Office in the respective country.

In case there is a legal aid agreement between the Republic of Bulgaria and the respective country as regards the need of additional certifications and legalizations of the attested notarized power of attorney, the applicable provisions are those of the particular legal aid agreement.

All documents in a foreign language have to be translated in Bulgarian by a translator, whose signature has to be certified by the Republic of Bulgaria’s Ministry of Foreign Affairs.

It is possible that the authorizer’s signature could be certified by the Republic of Bulgaria’s Consulate Office in the respective country, as in this case no additional attestations are needed.

 

For legal entities:

Question: What documents should I present in order to receive my dividend as a legal entity?

Answer: If the legal entity –shareholder is a client of the Bank and its data and share participation have been duly registered with the system of Central Depository AD, the payment of the dividend will be made upon request by the entity’s lawful representatives as per the documents, provided at the Bank, in certification of the entity’s legal status and manner of representation.

Upon changes in the circumstances, evidenced in the documents, provided to the Bank, documentation, certifying the made changes should also be presented.

If a legal entity-shareholder is not a client of the Bank, its legal representatives have to provide the respective documents, ascertaining the entity’s legal status and representation mandates.

Question: I am a legal successor of a UBB shareholder – legal entity. What documents do I have to present, in order to receive my dividend and where can I obtain those documents from?

Answer: You need to present documents, certifying the legal succession pursuant to the provisions of the applicable legislation.

Question: What power of attorney do I need in order to receive the dividend?

Answer: Dividend payment to a shareholder’s proxy is possible, if the authorizer’s signature on the power of attorney has been attested by a notary and the text contains an express statement, empowering the authorized person to receive the dividend, due to that particular shareholder.

Tax-related Issues

For individuals

Question: I had calculated my dividend as X amount, but I received Y аmount instead. Why did that happen?

Answer: The amount of the dividend, due to each shareholder of the Bank, has been calculated by Central Depository AD in accordance with the total dividend to be paid, as voted at the Bank’s General Meeting of Shareholders. If the shareholder is a person, subject to withholding tax deduction, the net paid amount is less the determined tax.

Question: What tax do I owe for the dividend, if I am an individual shareholder?

Answer: Pursuant to the effective legislation, the personal income tax equals 5% on the calculated dividend. The tax is withheld from the dividend’s gross amount, as this is an obligation of the payer. In other words, the Bank has already paid your tax.

Question: I am an individual shareholder, so do I have to declare the dividend in my tax return?

Answer: No. Individuals do not need to declare any dividends they have received.

 

For legal entities

Question: What tax for the dividend do I owe, if I am a legal entity?
Answer: Withholding tax is levied on dividends, paid by local legal entities in favor of:

  • foreign legal entities, with the exception of the cases, when the dividends are realized by a foreign legal entity through a place of business in this country;
  • local legal entities that are not merchants, including municipalities

Exceptions to the above rule are cases when the dividends have been allocated in favor of:

  • local legal entity, participating in a company’s capital as a representative of the State;
  • mutual fund;
  • foreign legal entity that is a tax resident in an EU member – state, or in another country – party to the Agreement on the European Economic Area, with the exception of cases of hidden profit allocation.

The due tax is 5%

Miscellaneous

Question: What is the dividend per share for 2015?

Answer:  BGN 3.42

Question: What is the dividend per share for 2016?

Answer: BGN 1.288537

Question: I have not received my dividend for 2015. Can I receive my dividends for both years altogether and what documents should I present?

Answer: Yes, you can receive your dividend for both years altogether at any UBB branch. The documents you need to present are the same.

Question: I acquired shares of the Bank after the date of the General Shareholders’ Meeting, at which a decision for dividend payment was made. Am I entitled to receive any dividend?

Answer: Rights to obtain dividends have only those persons/entities that were shareholders of the Bank as of the date of holding the General Shareholders’ Meeting, at which a decision for dividend payment was made.

Question: I am not included as a shareholder of the Bank in the system of Central Depository AD and/or my data is wrong / incomplete. What do I have to do?

Answer: If the Bank’s officials have informed you that you are not on the list of the Bank’s shareholders, as provided by Central Depository AD and/or your data is wrong /incomplete, you need to present at a branch of the Bank the documents that you have at your disposal, certifying your shareholding participation. The Bank’s employees will notify you within ten business days of the further actions that should be undertaken.

Question: How can I receive my dividend?

Answer: Dividend is paid upon a shareholder’s request in the following manners:
- in cash at a teller’s desk
- with a transfer to an account with the Bank
- with an interbank transfer in Bulgarian leva (BGN).

Question: Can I receive my dividend in any UBB branch?

Answer: Yes, you can.