On 23 August 2017, the District Court of Helsinki confirmed the restructuring programmes of Componenta Corporation and Componenta Finland Oy (currently Componenta Castings Oy). According to Restructuring of Enterprices Act 58 §, the company has no right to pay dividend between an approval and a termination of the restructuring programme. The payment programme started in May 2019 and will end in November 2023.
Componenta’s Annual General Meeting on 5 May 2017 resolved that the company’s losses will be covered by reducing share capital, the share premium reserve and the reserve fund. Covering losses with share capital, the share premium reserve and the reserve fund results in a three-year restriction of distributions to shareholders. Under this restriction, the company may not during a three-year period following the registration of the decrease in the share capital distribute unrestricted equity without complying with the procedure for protection of creditors provided for in Chapter 14, Sections 3-5 of the Limited Liability Companies Act.