Over time, the Company’s investment policy has focused on maintaining all production assets in optimal operating conditions. Therefore, each year it invests a fraction of the book basis depreciation of its property, plant and equipment incurred during the prior year. It also makes investments in property, plant and equipment and concessions in order to boost its production capacity in order to comply with its strategic development plan. These investments are financed using corporate resources, by selling assets or with long-term loans from financial institutions. Investments in working capital are funded with corporate resources or short-term bank financing. The Company has covenants with these banks to maintain a debt over EBITDA coverage ratio no greater than 4 times and a ratio of equity to assets equal to or greater than 40%, in accordance with the lending agreement signed in November 2017.
The current dividend policy of Salmones Camanchaca S.A. approved by the Board of the company is as follows:
a) The Company shall distribute definitive annual dividends after the approval of the balance sheet of each fiscal year by the Annual general Meeting, in an amount that will be at least equal to 30% of the net profits susceptible of being distributed as shown in the relevant balance sheet.
b) The Company will not distribute interim dividends unless so decreed by the Board for a particular distribution.
c) The terms indicated in “a” and “b” above may be modified by the Board in the future.
The purpose of this policy is to define the internal procedures that relate to compliance with the tax obligations of the company and its subsidiaries.
- Salmones Camanchaca S.A. and its subsidiaries will ensure compliance with tax legislation in Chile and every nation. They will pay their tax obligations in accordance with the legal and tax regulations in each country.
- The company will be governed by the principle of cooperation with the tax authorities, based on trust, good faith, professionalism, and collaboration; without prejudice to the legitimate differences that, based on the above principles and in the interpretation of the applicable norms, may arise in the defense of the social interest of Salmones Camanchaca.
- The Company commits to provide the information requested by the respective authorities, provided it is required to comply with fiscal or tax regulations.
- Salmones Camanchaca relies on external expert advisors to comply with these principles. They will ensure that the appropriate tax regulations are correctly interpreted, and that the taxation processes associated with declarations, payments, and the flow of information to the respective tax authorities are correctly controlled.
- The company undertakes that it does not transfer the value earned from its businesses to jurisdictions with lower tax rates.
- Market conditions and the corporate interest will apply to transactions between related companies and transfer prices at Salmones Camanchaca. These conditions will be similar to those that apply to independent counterparties for comparable transactions and circumstances. The corresponding balances and principal transactions are reported every quarter in the respective notes to the financial statements.
- Salmones Camanchaca committed to not using secret jurisdictions or “tax havens” to evade taxation and that its corporate structure is not designed for that purpose.
- The company’s management seeks adoption of measures required to disseminate and verify full compliance with this Corporate Taxation Policy.
This policy was approved by the company’s Board of Directors on June 23, 2021.