Letter to Shareholders re Dividend Investment Plan
Thu 03 Oct 2002
Published: Thu 03 Oct 2002 15:56:08
Document No: 224359
Document part: A
Market Flag: N
Classification: Letter to Shareholders
WESFARMERS LIMITED 2002-10-03 ASX-SIGNAL-G HOMEX - Perth +++++++++++++++++++++++++ LETTER TO SHAREHOLDERS Wesfarmers Limited (Wesfarmers) introduced its Dividend Investment Plan (Plan) to shareholders in 1985. Under the Plan, shareholders are able to invest all or a portion of their dividend entitlements in new shares in the company. Wesfarmers proposes to amend the terms of the Plan with effect from 8 November 2002. The proposed amendment which will be of particular interest to shareholders, is in relation to dividend entitlements under the Plan. Previously, where the dividend entitlement did not translate to an exact number of shares, the number of shares issued to a participant was determined by rounding the dividend entitlement to the nearest whole number of shares. However, as the value of Wesfarmers shares has increased, the amount foregone by some participants (due to rounding down of their entitlement) has increased. The proposed amendments will remove the rounding provisions from the Plan and allow cash balances to be retained until subsequent issues under the Plan. Under the proposed amendments, participants will receive the maximum number of shares that can be fully paid for from the dividend entitlement and any cash balance remaining will be held on account for the participant. For subsequent issues under the amended Plan, the number of shares received by the participant will be based on the dividend entitlement and any accrued balances. If a participant decides, or is deemed not to participate in the Plan, any balances remaining at the next record date will be paid to the participant. If the Plan is suspended, Wesfarmers has the discretion whether to pay out the balances to participants or retain those balances until reinstatement of the Plan. The other proposed amendments to the Plan are minor changes in order to update the terms of the Plan to reflect recent changes in the terms used in the Corporations Act 2001 and the Listing Rules of Australian Stock Exchange Limited (ASX) and to clarify the procedures and effect of suspending the Plan. A complete copy of the amended terms of the Plan has been released to the ASX. You may obtain a copy of the amended terms from the ASX, or from the Company's website, www.wesfarmers.com.au, or by contacting the share registry, Computershare Investor Services Pty Limited on (08) 9323 2000. L J Kenyon COMPANY SECRETARY A copy of the full announcement, including the amended Terms and Conditions of the Dividend Investment Plan, is available for purchase from ASX Customer Service on 1 300 300 279.