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8.4 Earnings per share and dividend proposal

Calculation of the earnings per share 2009 2008
Group net income in EUR thousand 731,185 (126,987)
Weighted average of issued shares 120,594,371 120,594,783
Earnings per share in EUR 6.06 (1.05)

Neither in the year under review nor in the previous reporting period were there any dilutive effects. On the basis of the employee share option plan Hannover Re acquired treasury shares in the course of the third quarter of 2009 and sold them to the eligible employees. The weighted average of shares in circulation during the reporting period was therefore insignificantly lower than in the previous year. For further details please see our comments in Section 6.13 “Shareholders’ equity, minority interests and treasury shares”.

There were no other extraordinary components of income which should have been recognised or disclosed separately in the calculation of the earnings per share.

The earnings per share could potentially be diluted in future through the issue of shares or subscription rights from the authorised or conditional capital.

Dividend per share

No dividend (previous year: EUR 277.4 million) was paid in the year under review for the 2008 financial year.

On the occasion of the Annual General Meeting to be held on 4 May 2010 it will be proposed that a dividend of EUR 2.10 per share should be paid for the 2009 financial year. This corresponds to a total distribution of EUR 253.3 million. The dividend proposal does not form part of this consolidated financial statement.

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