Consolidated Water Declares Quarterly Cash Dividend;
Appreciation for Retiring Director Hal Carr Expressed at Annual Meeting
GEORGE TOWN, Cayman Islands, B.W.I., May 30 /PRNewswire/ -- Consolidated Water Co. Ltd. (Nasdaq: CWCO -
news), which develops and operates seawater conversion plants and water distribution systems in the Cayman Islands where
natural supplies of drinking (i.e., potable) water are scarce, today announced that its Board of Directors has declared a
second quarter cash dividend of $0.08 per share. The dividend will be payable on July 31, 2000 to shareholders of record
June 30, 1999. The Company doubled its quarterly cash dividend rate in the third quarter of 1999, to an annualized rate of
$0.32 per share, and its Board of Directors adopted a non-binding resolution to pay future dividends at an annualized rate
which is equivalent to 50%-60% of the Company's reported net income.
At Consolidated's Annual General Shareholders' Meeting (``AGM''), which was held on May 24, 2000, Chairman Jeffrey
Parker noted that an increase in the quarterly cash dividend rate may be forthcoming later this year, if earnings continue to
improve. The Company recently reported a 23% increase in net income for the quarter ended March 31, 2000.
Also at the AGM, the Company's shareholders endorsed a Board of Directors resolution expressing its appreciation for the
twenty years' of service on its Board by Hal Carr, who recently resigned his position as a Director of Consolidated Water
Co. Ltd. Shareholders approved the appointment of Mr. Carr's son, Steven Carr, to the Board of Directors at the meeting.
Other directors re-elected at the AGM included Richard L. Finlay, Clarence B. Flowers, Jeffrey M. Parker and Frederick
W. McTaggart.
In his comments at the AGM, Chairman Parker noted that the Company continues to pursue seawater conversion projects
outside of the Cayman Islands and indicated his optimism that opportunities in the Bimini Islands (Bahamas) and in Belize
may come to fruition during FY2000.
The Company also announced that it will begin filing its financial statements in accordance with U.S. Generally Accepted
Accounting Principles (``GAAP'') effective June 30, 2000. Currently, the Company's financial statements are prepared in
accordance with International Accounting Standards (``IAS''). Consolidated also plans to voluntarily file 10-Q and 10-K
statements with the Securities and Exchange Commission, beginning with the quarter ending June 30, 2000.
Consolidated Water Co. Ltd. intends to develop and operate seawater conversion plants and water distribution systems in
areas of the world where naturally-occurring supplies of potable water are scarce or nonexistent. It currently operates a
public water utility in certain areas of the Cayman Islands under a 20-year exclusive license from the Government of the
Cayman Islands. The Company has signed contracts for its first overseas operations in the Commonwealth of the Bahamas.
The common stock of Consolidated Water Co. Ltd. is traded on the Nasdaq National Market under the symbol ``CWCO''.
This press release includes statements that may constitute ``forward-looking'' statements, usually containing the words
``believe,'' ``estimate,'' ``project,'' ``expect'' or similar expressions. These statements are made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and
uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would
cause or contribute to such differences include, but are not limited to, continued acceptance of the Company's products and
services in the marketplace, changes in its relationship with the Government of the Cayman Islands, the ability to
successfully secure contracts for water projects in other countries, the ability to develop and operate such projects
profitably, and other risks detailed in the Company's filings with the Securities and Exchange Commission. By making these
forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after
the date of this release.
For further information, please contact: Alexander S. Bodden, Vice President, Finance at (345) 945-4277 or via e-mail at
cwco@candw.ky or RJ Falkner & Company, Inc., Investor Relations Counsel at (800) 377-9893 or via e-mail at
info@rjfalkner.com
SOURCE: Consolidated Water Co. Ltd. |
