We never paid dividends in the past, reinvesting our profit into our business. However, in 2011, for the first time in the company's history, we paid dividends to our shareholders.

Prior to any future dividend declaration, we expect to use the majority of our profits for our development activities, building materials businesses and the expansion of our land bank.
 
Dividend payments, if any, must be recommended by our Board of Directors and approved by our General Shareholders’ Meeting, neither of whom is under any obligation to recommend or approve any dividend payments. The ability to pay dividends is also restricted by Russian law and our charter. In particular, dividends may be declared and paid only out of net profits for the first quarter, six months, nine months and/or annual results calculated under Russian Accounting Standards (RAS) and as long as the following conditions have been met:
•     Our share capital has been paid in full;
•     The value of our net assets, calculated under RAS, is not less (and would not become less as a result of the proposed dividend payment) than the sum of our share capital, our reserve fund and the difference between the liquidation value and the par value of our issued and outstanding preferred shares, if any;
•     We have repurchased all shares from shareholders having the right to demand repurchase; and
•     We are not insolvent, and would not become insolvent, as a result of the proposed dividend payment.

Additionally, certain of our loan facility agreements impose restrictions on the declaration and payment of dividends.