This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Shanda Games Announces Special Cash Dividend

HONG KONG, Nov. 28, 2011 /PRNewswire-Asia-FirstCall/ -- Shanda Games Limited (Nasdaq: GAME, " Shanda Games" or the "Company"), a leading online game developer, operator and publisher in China, today announced that its board of directors declared a special one-time cash dividend of US$0.51 per Class A or Class B ordinary share, or US$1.02 per American Depositary Share ("ADS").

Record holders of the Company's Class A and Class B ordinary shares at the close of business on December 20, 2011 (the "Record Date") will be entitled to receive the special dividend. Holders of the Company's ADSs, each representing two Class A ordinary shares, as of the Record Date will be entitled to the special dividend. JPMorgan Chase & Co., depositary bank for Shanda Games' ADR program, expects to pay out dividends to ADS holders on or at around January 20, 2012.  The actual dividend distribution date may change, depending on whether the Company is able to obtain the relevant regulatory approvals in China in a timely manner.  The Company plans to issue another press release informing the market should there be any change to the scheduled dividend distribution date. The total amount of cash to be distributed for the special dividend is expected to be approximately US$285 million.

"As our current cash position exceeds the Company's short-term needs and we continue to generate strong free cash flow from operations, we are happy to announce this special dividend in an effort to return value to shareholders," said Mr. Alan Tan, Chairman and CEO of Shanda Games.  "We intend to continue to make investments in our businesses and maintain our position as a leading innovator in the industry. We are confident in our long-term growth potential and ongoing ability to increase shareholder value."

As of September 30, 2011, the Company had RMB3,710.4 million ( US$583.9 million) in cash and cash equivalents, short-term investments, restricted cash and time deposits, net of loans. The Company generated RMB1,745.3 million ( US$274.6 million) in cash flow from operations on revenues of RMB4,504.7 million ( US$708.9 million) in fiscal year 2010, the most recent year for which financial results have been reported.

Currency Convenience Translation

The United States dollar (US$) amounts disclosed in this press release are presented solely for the convenience of the reader.  The conversion of Renminbi (RMB) into U.S. dollars is based on RMB6.3549 to US$1.00 as published by the People's Bank of China on September 30, 2011.  The Company makes no representation that the Renminbi or US dollar amounts referred to in this release could have been, or could be, converted into US dollars at such rate or at all.  The percentages stated are calculated based on the RMB amounts.

Safe Harbor Statement

This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995.  Statements in this announcement that are not historical facts, including but not limited to statements regarding the long-term growth of the Company, represent only the Company's current expectations, assumptions, estimates and projections and are forward-looking statements. These forward-looking statements involve various risks and uncertainties. Important risks and uncertainties that could cause the Company's actual results to be materially different from expectations include but are not limited to the risk that the Company fails to deliver long-term growth, as well as the risks set forth in the Company's filings with the U.S. Securities and Exchange Commission, including the Company's annual report on form 20-F. The Company does not undertake any obligation to update any forward-looking statement, except as required under applicable law. 

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,930.87 +15.80 0.09%
S&P 500 1,966.97 +2.29 0.12%
NASDAQ 4,414.4840 +18.28 0.42%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs