Econocom - 2020 annual report

07 shareholders

share performance and shareholders

allows shareholders to opt for distance voting through electronic means, it must provide a description of the means used by the Company to identify shareholders that choose to do so. DISTRIBUTION OF PROFITS 1.5.2. All shares carry the same rights to participate in Econocom’s profits. The Company’s profit for the year is calculated in accordance with applicable legal regulations. A total of 5% of profits is allocated to the legal reserve. This allocation is no longer required when the legal reserve equals 10% of the share capital. Acting on a recommendation of the Board of Directors, every year the General Meeting independently determines how the residual profit balance will be used and allocated by simple majority vote of members present, within the limits set by articles 7:212 and 7:214 of the Belgian Companies Code. No profits are distributed when, at the end of the last reporting period, net assets as shown in the annual financial statements total less than paid-up capital or would total less than paid-up capital if profits were distributed or if net assets exceed called-up capital plus any reserves not available for distribution pursuant to the law or to the Company’s Bylaws. In accordance with the Belgian Companies Code, the Board of Directors may distribute an interimdividend deducted from profit for the year. The Board sets the amount of any

such interim dividend and the dividend payment date. LIQUIDATION 1.5.3. In the event that Econocom is dissolved for any reason and at any time, the liquidation process will be managed by one or more liquidators appointed by the General Meeting, or, if no such liquidators are appointed,by the Board of Directors in office at that time, acting as a liquidation Committee. For this purpose they will have the broadest powers conferred by articles 2:87 et seq. of the Belgian Companies Code. The General Meeting determines the fees payable to the liquidators. The liquidators can only assume their duties after their appointment by the General Meeting has been approved by the Commercial Court pursuant to articles 2:83 et seq. of the Belgian Companies Code. Once all liabilities, expenses and liquidation fees have been settled, the net assets will be used first to refund the outstandingpaid-up share capital in cashor in securities. If the shares are not all paid up in equal proportions, before making any allocations, the liquidatorsensure that all shares are on a wholly equal footing, either by additional calls for funds charged against shares not fully paid up or by prior cash reimbursementsfor shares paid up in excess of the requisiteamount. The remaining balance is allocated equally among all shares.

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2020 annual report