Notes 21-25

22. Movement in total equity

In millions of EUR Share
capital		 Trans-
lation
reserve		 Hedging
reserve		 Fair
value reserve		 Other
legal
reserves		 Reserve
for own
shares		 Retained
earn-
ings		 Equity
attribu
-table
to equity
holders
of the
Company		 Minority
interests		 Totalequity
Balance as at 1 January 2007 784 96 28 97 459 (14) 3,559 5,009 284 5,293
Net recognised income and expense – (89) 16 2 19 – (19) (71) (2) (73)
Profit – – – – 89 – 718 807 122 929
Transfer to retained earnings – – – – 4 – (4) – – –
Dividends to shareholders – – – – – – (333) (333) (84) (417)
Purchase minority shares – – – – – – – – (21) (21)
Purchase own shares – – – – – (15) – (15) – (15)
Share-based payments – – – – – – 7 7 – 7
Changes in consolidations – – – – – – – – 8 8
Balance as at 31 December 2007 784 7 44 99 571 (29) 3,928 5,404 307 5,711
Balance as at 1 January 2008 784 7 44 99 571 (29) 3,928 5,404 307 5,711
Net recognised income and expense – (602) (166) (11) (44) – 44 (779) (44) (823)
Profit – – – – 142 – 67 209 138 347
Transfer to retained earnings – – – – (74) – 74 – – –
Dividends to shareholders – – – – – – (363) (363) (148) (511)
Purchase minority shares – – – – – – – – (7) (7)
Purchase/ reissuance own shares – – – – – (11) – (11) – (11)
Share-based payments – – – – – – 11 11 – 11
Changes in consolidation – – – – – – – – 35 35
Balance as at 31 December 2008 784 (595) (122) 88 595 (40) 3,761 4,471 281 4,752

Share capital

  Ordinary shares
In millions of EUR 2008 2007
On issue as at 1 January 784 784
Issued for cash – –
On issue as at 31 December 784 784

As at 31 December 2008 the issued share capital comprised 489,974,594 ordinary shares (2007: 489,974,594). The ordinary shares have a par value of €1.60. All issued shares are fully paid. The Company’s authorised capital amounts to €2.5 billion, comprising of 1,562,500,000 shares.

The holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the Company. In respect of the Company’s shares that are held by Heineken, rights are suspended.

Translation reserve

The translation reserve comprises foreign currency differences arising from the translation of the financial statements of foreign operations of the Group (excluding amounts attributable to minority interests) as well as value changes of the hedging instruments in the net investment hedges.

Hedging reserve

This reserve comprises the effective portion of the cumulative net change in the fair value of cash flow hedging instruments where the hedged transaction has not yet occurred. Heineken considers this a legal reserve.

Fair value reserve

This reserve comprises the cumulative net change in the fair value of available-for-sale investments until the investment is derecognised or impaired. Heineken considers this a legal reserve.

Other legal reserves

These reserves relate to the share of profit of joint ventures and associates over the distribution of which Heineken does not have control. The movement in these reserves reflects retained earnings of joint ventures and associates minus dividends received. In case of a legal or other restriction which means that retained earnings of subsidiaries cannot be freely distributed, a legal reserve is recognised for the restricted part.

Reserve for own shares

The reserve for the Company’s own shares comprises the cost of the Company’s shares held by Heineken. As at 31 December 2008 Heineken held 1,044,233 of the Company’s shares (2007: 800,000).

Dividends

The following dividends were declared and paid by Heineken:

In millions of EUR 2008 2007
Final dividend previous year €0.46, respectively €0.44 per qualifying ordinary share 226 215
Interim dividend current year €0.28, respectively €0.24 per qualifying ordinary share 137 118
Total dividend declared and paid 363 333

After the balance sheet date the Executive Board proposed the following dividends. The dividends, taken into account the interim dividends declared and paid, have not been provided for.

In millions of EUR  2008 2007
€0.62 per qualifying ordinary share (2007: €0.70) 304 343