Dividend Payout
As a tradition of Cargen, the directors recommended a dividend payout of Ksh.0.67 per share to every shareholder in the company’s register at the close of business on February 22, 2008. This will cost the company about Ksh.15 million. Due to the financial constraints the company is not able to give a higher dividend payout.

Company Prospects
The post election violence is most likely to affect Cargens performance in the coming period as the transport sector in which it’s majored has been adversely affected. Considering that the company earns over 60% of its revenue in the Kenya market, with limited business in Uganda, it may be difficult for its revenue to rise this year. The company is on an expansionary program across East Africa.

Activity
The company’s share price is currently trading at Ksh.47.75 with a PE ratio of 6.08. The company is tightly owned with an estimate free float of 19% available for trading at the bourse. They will hold their AGM on March 14, 2008 and the books closure for members’ register will be on February 25, 2008.

Income Statement

Management Commentary on Results
Final Dividend
The Directors have resolved to recommend 2008 that a FINAL DIVIDEND of KES. 15,000,000 (Shillings 0.67 per share) on the issued share capital be declared payable to those registered at close of business on 22 February 2008.

Close of register
Notice is hereby given that the Register of Members will be closed from 25 February 2008 to 1^st March 2008 both dates inclusive for the purpose of preparation of dividend list. Documents for registration, which should be received by 4.30pm on 22 February 2007 may be hand delivered or posted to the Registered office at the following address –

New Cargen House, Lusaka Road, Nairobi, P.O Box 20001 Nairobi 00200.
Dividend warrants are expected to be dispatched on or about 31 March 2008