All natural and legal persons who own shares of the Company as of the date of the identification of ownership initiated by the Company that has been carried out in accordance with the Regulations of KELER Zrt., who have had their names registered in the Share Registry and who have rendered their identification data as required by the legislation at the Company’s disposal by way of their securities account keeper are entitled to dividends.

Conditions for the Payment of Dividends

Based on the legal regulations in effect, payment necessitates the provision of the following data in view of registration in the Share Registry and tax payment (supply of data) considerations:

• In the case of shareholders who are private persons, the data required for the payment of dividends include: name, name at birth, place/time of birth, mother’s maiden name, citizenship, tax identification number (or passport number in the case of foreigners), the shareholder’s gender and address,
• In the case of companies with legal personality: company name, seat, place of registration; tax or registration number in the case of companies registered in Hungary.
• In the case of nominees: the name in respect of the nominee, seat, place of registration (including tax number for nominees registered in Hungary), as well as a declaration regarding the number and composition of shares held by the nominee and regarding the extent to which the nominee represents private and legal persons. The Company would like to draw nominees’ attention to the fact that it will effect payment to legal persons after the making of the aforementioned declarations. Payments to private persons will only be made if the nominee makes a declaration concerning the above-listed data in the format of a deed in the Hungarian or the English and Hungarian languages duly signed by the company at the latest by the last day of the calendar year in which payment is made. We would also like to highlight that we will be able to issue certificates for secondary legal persons if the nominee supplies data in the manner similar to private persons by December 31. As the system, rate and assessment of taxation of private and legal persons differ, we will not be able to accept changes to the given rates later on.

Missing data will cause delays in payment but payment can be effected by supplying the missing data. We would like to call our shareholders’ attention to the fact that the right to dividends may only be practiced by registration in the Company’s Share Registry.

In the event the account keeper does not identify, or does not identify properly, its shareholder customers, it may do so at a later time. Payments made pursuant to missing data supplied subsequently will be transferred in the month following the month in which the missing data was supplied.

Highlighted Dates

June 18, 2007 (E-day):

The starting date for the payment of dividends determined in the above-mentioned manner. Those entitled to claim dividends may do so from this date.

June 11, 2007 (E-5 day):

Reference date for the identification of ownership. Those who own shares at the end of this day are entitled to dividends.

June 6, 2007 (E-8 day):

The last day for trading shares on the Budapest Stock Exchange in order to obtain shares that will allow entitlement for the payment of dividends.

The Method of Dividend Payments

The payment of dividends due in respect of common shares will be made by transfer to the account of the shareholder’s account held by a securities account keeper, and to the account indicated by the securities account keeper in the case of domestic legal persons. We will not be liable for delays or damages caused by the supply of erroneous data or missing account information.

Payment of dividends in respect of preference shares will be made at the Company’s Share Office (1103 Budapest X. Gyömrői út 8, Telephone: 431-4027; 431-4028, Fax: 261-3041) from June 18, 2007 between the hours of 9-15 upon presentation of the printed shares. We would like to inform our preference shareholders that Resolutions nos. 12/2007.04.25 and 13/2007.04.25 passed at the Annual General Meeting held on April 25, 2007 have approved the conversion of all preference shares into dematerialized common shares upon the payment of HUF 2000/share to the Company as the difference in value after conversion of preference shares into common shares, the deposit of the preference shares and in addition an undertaking to compensate the Company for any taxes, duties, incidental fees, expenses and other financial burdens of this type in connection with the foregoing. The Company will publish a separate announcement for the procedure of conversion into dematerialized common shares.

Tax Deductions at the Time of Payment

For payments made to domestic and foreign private persons, we will deduct 10% as personal income tax based on Act CXVII of 1995 on Personal Income Tax.

We will make payments to legal persons (domestic and foreign alike) without tax deductions.

Tax Certificates

We will provide certificates of the dividends paid and the tax deducted to our shareholders following the transfer to the account holder at the latest by January 31, 2008, except in cases where the securities account keeper has requested by way of a declaration that tax certificates be forwarded to it.

Dividend Payments in respect of Previous Years

We would like to inform our shareholders that the payment of overdue dividends may be requested in the manner and with the conditions described above and at the same time as dividends in respect of 2006.

Dividends paid in respect of 2005 and preceding years are subject to a personal income tax deduction of 25%. In addition, under Act LXXX of 1997 on Social Security (hereinafter: the “SA”), as of January 1, 2007, dividends paid to private persons are also subject to a 4% health care contribution. Exemptions from this payment obligation are available to private persons who have already paid the health insurance deduction pursuant to Subsection 19(1) of the SA and Subsection 39(2) of the SA, in addition to having already paid the percentage-based health care contribution and have reached the upper limit of the contribution payment (four hundred and fifty thousand Hungarian forints) for income received in the year in question pursuant to Act LXVI of 1998 on Healthcare Contributions (hereinafter: the “HC”) [Subsection 11/A(1) of the HC], or upon a declaration made by private persons that his or her health insurance deduction based on Subsection 3(3) of the HC will expectedly reach the upper limit of the contribution payment in 2007 [Subsection 11/A(2) of the HC]. This declaration is available on KELER Zrt.’s homepage.

Budapest, May 23, 2007.

Chemical Works of Gedeon Richter PLC