Proposed appropriation of available earnings

Proposed appropriation of retained earnings (CHF in thousands)

2016

2015

(1)

Shareholders who are resident in Sweden participating in the established dividend access facility will receive an amount in Swedish kronor from ABB Norden Holding AB which corresponds to the dividend resolved on a registered share of ABB Ltd without deduction of the Swiss withholding tax. This amount however is subject to taxation according to Swedish law. However, no dividend will be paid on own shares held by ABB Ltd.

Net income for the year

1,924,811

2,973,717

Carried forward from previous year

8,621,575

5,647,858

Cancellation of shares

(1,293,703)

Retained earnings

9,252,683

8,621,575

Gross dividend of CHF 0.76 per share on total number of registered shares(1)

(1,683,205)

Balance to be carried forward

7,569,478

8,621,575

On February 8, 2017, the Company announced that the Board of directors will recommend for approval at the April 13, 2017, Annual General Meeting that a dividend of CHF 0.76 per share be distributed out of the retained earnings available, to be paid in April 2017.