CIL pays interim dividend to government

CIL pays interim dividend to governmentState owned PSU Coal India Limited paid Rs. 1,989.65 crore as Interim Dividend to the Government of India. This dividend was for the FY 2010-11. CIL is paying dividend at Rs. 3.5 per share. Shri Partha S Bhattcharyya, Chairman Coal India Limited handed the cheque to the Minister of Coal, Government of India, Shri Sriprakash Jaiswal.

CIL managed to post a profit-after-tax of Rs. 9,622.45 crore for the 2009-10. The amount paid to government (Rs. 1989.65 crore) is 90% of the dividend. Rest 10% will be distributed among the shareholders of the company. In FY
2009-10 CIL managed to pay Rs. 2,210 crore as final dividend. It was 35% of the paid up equity. This year's interim dividend paid to Government and shareholders is same as last year's final dividend.

Bhattcharyya said media that coal production in India is greatly impacted by environment issues. Company would likely to do around 440 million tonnes against targeted 460 million tonnes. He said to reporters "It may be around that figure and will translate to a growth of around 2 per cent this fiscal." Chairman said that various environment clearances for mining in forest areas were rejected. Also a new pollution index called Comprehensive Environmental Pollution Index (CEPI) that was introduced last year also greatly affected the coal production.