HSBC 2006 Annual Report Download - page 280

HSBC HOLDINGS PLC
Report of the Directors: Governance (continued)
Corporate Responsibility / Shareholders
278
in light of the wide definitions in The Political
Parties, Elections and Referendums Act 2000. These
authorities have not been used.
Corporate responsibility reporting
HSBC provides information in its Corporate
Responsibility Report 2006 and website
(www.hsbc.com/cr) on the extent to which it has
complied with its environmental, social and ethical
policies. Aspects covered include: how HSBC is
implementing and applying the Equator Principles to
manage the environmental and social risks in project
finance; employee diversity; environmental
management; and health and safety. HSBC is using
the guidelines of the Global Reporting Initiative in
producing its Corporate Responsibility Report 2006.
Third party scrutiny of the assertions made in the
report is provided through an assurance process
conducted by Den Norske Veritas. HSBC also
participates in the Dow Jones Sustainability Index,
FTSE4Good and Business in the Community’s
Environment Index. HSBC’s Corporate
Responsibility Report 2006 will be available at
www.hsbc.com/crreport from May 2007.
Shareholders
Dividends for 2006
First, second and third interim dividends for 2006,
each of US$0.15 per ordinary share, were paid on
6 July 2006, 4 October 2006, and 18 January 2007
respectively. Note 11 on the Financial Statements
gives more information on the dividends declared in
2006. On 5 March 2007, the Directors declared a
fourth interim dividend for 2006 of US$0.36 per
ordinary share in lieu of a final dividend, which will
be payable to ordinary shareholders on 10 May 2007
in cash in US dollars, or in sterling or Hong Kong
dollars at exchange rates to be determined on
30 April 2007, with a scrip dividend alternative. As
the fourth interim dividend for 2006 was declared
after the balance sheet date it has not been included
as a creditor at 31 December 2006. The reserves
available for distribution at 31 December 2006 are
US$12,045 million.
A quarterly dividend of US$15.50 per 6.20 per
cent non-cumulative US dollar preference share,
Series A (‘Series A dollar preference share’),
equivalent to a dividend of US$0.3875 per Series A
American Depositary Share, each of which
represents one-fortieth of a Series A dollar
preference share was paid on 15 March, 15 June,
15 September and 15 December 2006.
Dividends for 2007
The proposed timetables for the interim dividends in
respect of 2007 on the ordinary shares of US$0.50
are given in the Shareholder Information section on
page 436.
A quarterly dividend of US$15.50 per Series A
dollar preference share equivalent to a dividend of
US$0.3875 per Series A American Depositary Share,
each of which represents one-fortieth of a Series A
dollar preference share was declared on 12 February
2007 for payment on 15 March 2007.
Communication with shareholders
Communication with shareholders is given high
priority. Extensive information about HSBC’s
activities is provided in the Annual Report and
Accounts, Annual Review and the Interim Report
which are sent to shareholders and are available on
www.hsbc.com. There is regular dialogue with
institutional investors and enquiries from individuals
on matters relating to their shareholdings and the
business of HSBC are welcomed and are dealt with
in an informative and timely manner. All
shareholders are encouraged to attend the Annual
General Meeting or the informal meeting of
shareholders held in Hong Kong to discuss the
progress of HSBC.
Notifiable interests in share capital
According to the register maintained by HSBC
Holdings up to 20 January 2007 pursuant to section
211 of the Companies Act 1985:
• Legal and General Investment Management
Limited gave notice on 11 June 2002 that it had
an interest on 10 June 2002 in 284,604,788
HSBC Holdings ordinary shares, representing
3.01 per cent of the ordinary shares in issue at
that date; and
• Barclays PLC gave notice on 6 December 2006
that it had an interest on 29 November 2006 in
438,557,151 HSBC Holdings ordinary shares,
representing 3.79 per cent of the ordinary shares
in issue at that date.
Since 20 January 2007, no disclosures of major
shareholdings have been made to the Company
pursuant to the requirements of the Financial
Services Authority Disclosure and Transparency
Rule 5.