Reebok 2009 Annual Report Download - page 48

44 TO OUR SHAREHOLDERS Our Share
1) In April 2009, Management as at December 31, 2009.
1) At year-end 2009.
Source: Bloomberg.
N °-
06
N °-
07
SHAREHOLDER STRUCTURE 1 )
RECOMMENDATION SPLIT 1 )
<1% Rest of the world
10% Germany
26% North America
3% Management
24% Sell
22% Hold
29% Other, undisclosed
holdings
31% Rest of Europe
54% Buy
adidas AG historically outperforms adidas AG historically outperforms
benchmark indices benchmark indices
The adidas Group is committed to con-
tinuously enhancing shareholder value.
The long-term development of our share
price reflects investor confidence and
the growth potential of our Group. Over
the last ten years, our share has gained
103%. This represents a clear outper-
formance of both the DAX-30, which
decreased 14%, and the MSCI Index,
which increased 58% during the period.
ADR performs in line with ADR performs in line with
common stockcommon stock
Since its launch on December 30, 2004,
our Level 1 American Depositary Receipt
(ADR) facility has enjoyed great popular-
ity among American investors. Roughly
in line with the development of our
common stock, the Level 1 ADR closed
the year at US $27.15, representing
an increase of 40% versus the prior
year (2008: US $19.35). The number of
Level 1 ADRs outstanding decreased
to 5.4 million at year-end 2009 (2008:
8.9 million). The average daily trading
volume decreased 33% compared to the
prior year. Since November 2007, the
adidas AG ADR is quoted on the OTCQX
International Premier market, the high-
est over-the-counter market tier. This
electronic trading forum includes leading
international companies with substan-
tial operating businesses and credible
disclosure policies.
Convertible bond fully convertedConvertible bond fully converted
On October 8, 2009, we announced the
early redemption of our € 400 million
convertible bond (ISIN DE0009038968).
As a result of the favourable adidas AG
share price, all bondholders exercised
their conversion rights before
redemption. Due to the conversion
process, 15,684,274 new shares based
on the Contingent Capital 2003/II of
the company were issued. These new
shares are entitled to dividends as of the
beginning of the financial year 2009.
Dividend proposal of € 0.35 per shareDividend proposal of € 0.35 per share
The adidas AG Executive and Supervisory
Boards will recommend paying a dividend
of € 0.35 to shareholders at the Annual
General Meeting (AGM) on May 6, 2010
(2008: € 0.50). Subject to the meeting’s
approval, the dividend will be paid on
May 7, 2010. As a result of the decline in
the Group’s net income attributable to
shareholders in 2009, Management has
taken the decision to lower the dividend
level. In light of the strong cash flow
generation in 2009 and the significantly
reduced level of net borrowings, however,
Management has decided to change its
dividend policy. Going forward, we intend
to pay out between 20 and 40% of net
income attributable to shareholders
(previously: 15 to 25%). The total payout
of € 73 million (2008: € 97 million)
reflects an increase of our payout ratio to
30% of net income compared to 15% in
the prior year.
Strong international investor baseStrong international investor base
Based on the amount of invitations to
our AGM in May 2009, we estimate that
adidas AG currently has around 60,000
shareholders. In our latest ownership
analysis conducted in April 2009, we
identified 71% of our shares outstand-
ing. Shareholdings in the North Ameri-
can market account for 26% of our total
shares outstanding. Identified German
institutional investors hold 10% of
shares outstanding. The shareholdings
in the rest of Europe excluding Germany
amount to 31%, while 1% of institu-
tional shareholders were identified in
other regions of the world. adidas Group
Management, which comprises current
members of the Executive and Super-
visory Boards, holds 3% in total see Cor-
porate Governance Report, p. 33. Undisclosed
holdings, which also include private
investors, account for the remaining 29%
see 06.
Voting rights notifications receivedVoting rights notifications received
All voting rights notifications in accord-
ance with § 21 section 1 of the German
Securities Trading Act (Wertpapier-
handelsgesetz – WpHG) received in 2009
and thereafter can be viewed on our
corporate website www.adidas-Group.com/
voting_rights_ notifications. Information on
investments that have exceeded or fallen
below a certain threshold can also be
found in the Notes section of this Annual
Report see Note 26, p. 189.
N °-
05
HISTORICAL PERFORMANCE OF ADIDAS AG SHARE 1 )
AND IMPORTANT INDICES AT YEAR-END 2009 IN %
1 year 3 years 5 years 10 years since IPO
adidas AG 39 0 27 103 335
DAX-30 24 (10) 40 (14) 170
MSCI World Textiles,
Apparel & Luxury Goods 53 (4) 33 58 137
1) Source: Bloomberg.