Notes to consolidated financial statements
For the years ended December 31, 2011 and 2010 (as adjusted)
(In thousands of Mexican pesos ($) and thousands of U.S. dollars (US$))
13. Stockholders' equity
a. The historical amount of subscribed and paid-in common stock of Grupo Carso as of December 31, 2011 and 2010 is as follows:
| |
Number of shares |
|
Amount |
| |
2011 |
2010 |
|
2011 |
|
2010 |
| Series A1 |
2,745,000,000 |
2,745,000,000 |
$ |
644,313 |
$ |
644,313 |
| Treasury shares repurchased |
(453,497,800) |
(442,250,000) |
|
(108,141) |
|
(103,806) |
| Historical capital stock |
2,291,502,200 |
2,302,750,000 |
|
536,172 |
|
540,507 |
Common stock consists of ordinary, nominative and no par value shares.
Pursuant to a general ordinary Stockholders' meeting on April 26, 2011, the payment of a dividend was approved by the shareholders at the amount of $0.50 per share, payable in two exhibitions of $0.25 per share each, on May 18 and October 18, 2011. This payment was $1,148,647.
Pursuant a general ordinary Stockholders' meeting on April 29, 2010, the payment of a dividend was approved to the shareholders at the amount of $0.66 per share, payable in two exhibitions of $ 0.33 per share each, on May 18 and October 19, 2010. This payment was $1,524,609.
Dividends declared in the year were taken from the consolidated net tax income account ("CUFIN") balance.
Pursuant to a resolution of the general extraordinary stockholders' meeting on November 4, 2010, the Company spun-off its real estate and mining net assets resulting in the formation of: i) Inmuebles Carso, S.A.B. de C.V. which is owns directly or indirectly through its subsidiaries, various real estate properties and ii) Minera Frisco, S.A.B. de C.V., which owns directly or indirectly through its subsidiaries, the mining assets. On December 31, 2010 the above spin off took effect and the Company with a historical capital stock of $540,507.
b. Retained earnings include the statutory legal reserve. Mexican General Corporate Law requires that at least 5% of net income of the year be transferred to the legal reserve until the reserve equals 20% of capital stock at its historical amount (nominal pesos). The legal reserve may be capitalized but may not be distributed unless the Company is dissolved, and must be replenished if it is reduced for any reason. At December 31, 2011 and 2010, the legal reserve of Grupo Carso is $380,635 (nominal pesos) and is presented as part of retained earnings.
c. Stockholders' equity, except restated paid-in capital and tax retained earnings, will be subject to income tax payable by the Company at the rate in effect upon distribution. Any tax paid on such distribution may be credited against annual and estimated income taxes of the year in which the tax on dividends is paid and the following two fiscal years.
d. The balances of the stockholders' equity tax accounts as of December 31 are:
| |
|
2011 |
|
2010 |
| Contributed capital account |
$ |
4,213,157 |
$ |
4,097,640 |
| Consolidated net tax income account |
|
35,419,518 |
|
30,360,060 |
| Total |
$ |
39,632,675 |
$ |
34,457,700 |