Veidekke

Notice of Dividend Amount • Mar 30, 2020

Veidekke ASA: Cancels dividend proposal

Veidekke ASA: Cancels dividend proposal

The board of directors and group management of Veidekke ASA are taking steps to

be better equipped to deal with the unresolved situation created by the COVID-19

pandemic. In consultation with Veidekke's group management, the board of

directors has resolved to cancel the previously announced proposal to pay a

dividend of NOK 5 per share for 2019.

So far, the outbreak of the virus has had limited impact on the progress of the

company's construction projects and property sales. However, Veidekke fears that

the pandemic will create significant market uncertainty going forward. Due to

the uncertainty already caused by the pandemic, the board of directors has

resolved to cancel the previously announced dividend proposal and instead

propose to the annual general meeting on 6 May that no dividend be paid for the

2019 financial year.

"We anticipate that the comprehensive restrictions introduced to reduce the

spread of the coronavirus will produce results. However, these measures have

stirred considerable uncertainty concerning Veidekke's current operations and

future market development. As a precautionary measure, the board has resolved to

cancel the proposed dividend for 2019. Paying dividends has always been a

priority for Veidekke and will remain so in the future: We have a clear ambition

to pay a dividend at a later date, if the situation permits," says Svein Richard

Brandtzæg, chair of the board of Veidekke ASA.

Veidekke has a strong balance sheet, with good liquidity and unutilised credit.

The cancellation of ordinary dividend amounts to a total of NOK 675 million in

increased liquidity for Veidekke. In addition to cancelling the dividend

proposal for the 2019 financial year, the board is also temporarily suspending

all planned investments. If circumstances permit, the board will convene an

extraordinary general meeting at a later date to decide an extraordinary

dividend.

For more information, contact:

Jørgen G. Michelet, Finance Director tel. +47 917 43 856,

jorgen.michelet@veidekke.no

Lars Erik Lund, EVP Communications and Public Affairs, tel. +47 413 31 369,

lars.lund@veidekke.no

Veidekke press photos  (https://veidekke.fotoware.cloud/fotoweb/archives/5028

-Pressebilder-Veidekke/)

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Veidekke is one of Scandinavia's largest construction and property development

companies. The company undertakes all types of building construction and civil

engineering contracts, develops residential projects, maintains roads, and

produces asphalt and aggregates. The company is known for its involvement and

local knowledge. Its annual turnover is NOK 39 billion, and half of its 8,600

employees own shares in the company. Veidekke is listed on the Oslo Stock

Exchange and has always posted a profit since it was founded in 1936.