Nokia Corp. (NOK) announced that its board has appointed Rajeev Suri as President and Chief Executive Officer, effective May 1, 2014. Risto Siilasmaa, who has also been serving as an interim CEO, will return to focusing exclusively on his role as Chairman of Nokia's Board of Directors as of May 1, 2014.
Nokia said that its strategy is to develop its three businesses to realize its vision of being a technology leader in a connected world and, in turn, create long-term shareholder value.
Nokia said it will target the creation of long-term shareholder value by focusing on Networks business, HERE business and Technologies business.
Nokia named Rajeev Suri as President and CEO of Nokia, Timo Ihamuotila as Executive Vice President and Group Chief Financial Officer, Michael Halbherr as CEO of HERE, Henry Tirri as Executive Vice President, and acting Head of Technologies, Samih Elhage as Executive Vice President and Chief Financial and Operating Officer of Networks
Nokia also announced the appointment of Hans-Jürgen Bill as Executive Vice President of Human Resources, Barry French as Executive Vice President of Marketing and Corporate Affairs, and Maria Varsellona as Executive Vice President and Chief Legal Officer, effective May 1, 2014.
To improve the efficiency of Nokia's capital structure, the Nokia planned for EUR 5 billion capital structure optimization program which focuses on recommencing ordinary dividends, distributing deemed excess capital to shareholders, and reducing interest bearing debt.
The Nokia board proposes to the Annual General Meeting 2014 that a dividend of EUR 0.11 per share, subject to shareholder approval in 2014. Furthermore, the Nokia Board plans to propose an ordinary dividend of at least EUR 0.11 per share with respect to the year 2014 to the Annual General Meeting convening in spring 2015. The board also proposes a special dividend of EUR 0.26 per share (approximately EUR 1 billion). The special dividend is expected to be paid on or about July 3, 2014.
Further, the Nokia board proposes a share repurchase authorization to facilitate the EUR 1.25 billion of planned share repurchases over two years.
In addition, Nokia plans to reduce interest bearing debt by approximately EUR 2 billion by the end of the second quarter 2016.
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