FILA Holdings Corp.

- For the first time since its establishment, FILA Holdings is paying an 830 won per share special dividend with plans to gradually raise dividend payments under its five-year global strategy ‘WINNING TOGETHER’

FILA Holdings Corp. held a board meeting on Nov. 9 and approved a special dividend payment of 830 won per share. The payout is the first of its kind since the company’s establishment and was decided as part of the shareholder return policy emphasized in the five-year global strategy ‘WINNING TOGETHER’ announced earlier this year for stakeholders around the world.

FILA Holdings’ total special dividend amount this year is approximately 49.88 billion won, and the date of record for the dividend is Sept. 30. Dividend payments will be issued within 20 days of the date of the board of directors' resolution in accordance with Article 165-12 of the Financial Investment Services and Capital Markets Act.

Last year, FILA Holdings paid an annual dividend of approximately 60 billion won. This year, there has been much attention placed on FILA Holdings’ move to allocate about 50 billion won alone in a special dividend for shareholder return purposes. In terms of the size of the special dividend, FILA Holdings explained that the decision was made to enhance shareholder value and express the company's active commitment to responsible management under its five-year global strategy.

FILA Holdings is emphasizing its commitment to responsible management through active shareholder return policies under its ‘WINNING TOGETHER’ strategy. In this regard, based on stable cash flow, its dividend payout ratio was sharply raised from 8.0% in 2020 to 25.6% in 2021. In the future, the company plans to gradually raise its annual dividend payout ratio based on the net income of controlling shareholders and pay up to 600 billion won in shareholder returns over the next five years. FILA Holdings will continue its efforts to enhance shareholder value by actively sharing its investment performance with shareholders and establishing a stable and long-term investment environment.

"The special dividend is aimed at boosting the company’s stock price and strengthening shareholder-friendly policies despite the sluggish stock market situation in Korea and abroad,” said an official from FILA Holdings. The official added, “Based on the management's strong confidence in the company's growth, we plan to come up with effective ways to increase shareholder returns in order to enhance shareholder value."