Article 5 Maximum rates of dividend
The Company shall not in respect of any year pay dividends on their paid up share capital at rates greater than the following—
on capital subscribed before the date of commencement of this Order, the rates which they were empowered to pay immediately before that date;
on ordinary capital subscribed during the initial period, 10 per cent.;
on ordinary capital subscribed after the expiration of the initial period, 7 per cent. or such higher rate not exceeding 10 per cent. as the Secretary of State may allow;
on preference capital subscribed during the initial period, 12 per cent.;
on preference capital subscribed after the expiration of the initial period, 7 per cent. or such higher rate not exceeding 12 per cent. as the Secretary of State may allow; or
on any other capital which in accordance with the terms of subscription or issue bears a rate of dividend lower than the rates mentioned in paragraphs (b) to (e), that lower rate.
The Company shall be entitled to pay a dividend on ordinary capital at rates greater than those mentioned in paragraphs (b) and (c) of subsection (1) to make up deficiencies in dividends payable in the preceding five years in respect of that capital.
In this section the“initial period”means the period of five years beginning with the date of commencement of this Order.