Using the annual report and other sources such as a 10k or 10qs, discuss the dividend policy of PUMA.

Answer the following questions as part of your response:

1) How would you describe Puma's dividend policy?

2) Why do you believe Puma chose the dividend policy they have in place?

3) Do you agree or disagree that they have selected the best dividend policy for the company?

4) How might this dividend policy function in both perfect and imperfect capital markets?

Calculate the dividend rate over the past 2 years. Define why you believe that it has or has not changed over the last 2 years.

This link also has all of the other income information on it all in one place... http://about.puma.com/damfiles/default/investor-relations/financial-reports/en/2015/PUMA_ANNUAL_REPORT_2014-d5f36227d1dc936cc9e964bf08998b74.pdf

Please be original and answer all questions. Thank you!

Puma Income Statement

2014 2013

million % million % =/-%

	million	%	million	%	=/ - %
Sales	2,972.0	100%	2,985.3	100.0%	-0.4%
Cost of sales	-1,586.7	-53.4%	-1,597.8	-53.5%	-0.7%
Gross profit	1,385.4	46.6%	1,387.5	46.5%	-0.2%
Royalty and commission income	19.4	0.7%	20.8	0.7%	-6.7%
Other operating income and expenses	-1,276.8	-43.0%	-1,216.9	-40.8%	4.9%
Operating income before special items	128.0	4.3%	191.4 6	4%	-33.1%
Special Items	0.0	0.0%	-129.0	-4.3%	-100%
Operating income (EBIT)	128.0	4.3%	62.5	2.1%	104.9%
Financial result / Income from associated companies	-6.2	-0.2%	-8.7	-0.3%	-28.8%
Earnings before taxes (EBT)	121.8	4.1%	53.7	1.8%	126.6%
Taxes on income	-37.0	-1.2%	-32.5	-1.1%	13.7%
Tax rate	-30.4%		-60.5%
Net earnings attributable to non-controlling interests	-20.8	-0.7%	-15.9	-0.5%	30.5%
Net earnings	64.1	2.2%	5.3	0.2%	1,103.0%
Weighted average shares outstanding (million)	14,940		14,940		0.0%
Weighted average shares outstanding, diluted (million)	14,940		14,941		0.0%
Earnings per share in	4.29		0.36		1,103.0%
Earnings per share, diluted in	4.9		0.36		1,103.1%