16 May, 2008

Dividend announcement of the board of directors of TVK Plc. dividends for the 2007 financial year

Dear Shareholders,

The Annual General Meeting of Tisza Chemical Group Public Limited Company (TVK Plc.) held on April 17, 2008 approved to pay a dividend of HUF 8.963.321.067 in respect of the 2007 financial year to its ordinary shares. Accordingly the gross dividend is HUF 369 per share.

The payment of dividend will commence on June 02, 2008.

According to the Article 32 of the TVK Plc.’s Articles of Association those shareholders are entitled to dividends, who are registered as shareholder to the Share Register on the record date as announced in the dividend notice of the Board of Directors – based on the shareholder identification made in accordance with the KELER regulations.

Prior to payment of the dividend, TVK Plc. will carry out a shareholder identification, based on the data of May 26, 2008. The last day of trading on the Budapest Stock Exchange for shares entitled to the dividend of 2007 financial year will be May 21, 2008 in case of T+3 days settlement. Shareholders (natural persons and legal entities) will be entitled to receive the dividend if they own TVK shares at the record date.

Shareholders will remain entitled to receive the dividend within a limited five-year period beginning at the starting day of the dividend payment. The Company disclaims any obligation to pay any interest on dividends paid after June 02, 2008.

Process of dividend payment:

1.                  In respect of shareholders holding their shares in a security account with a Hungarian accountkeeper, the dividend will be transferred to the security account held at the accountkeeper or to his personal bank account commencing June 02, 2008, if the above mentioned accountkeeper has transferred to TVK Plc. all data required for shareholder identification in relation to the shareholder, fully complying with all relevant KELER Zrt. procedures. If the accountkeeper cannot identify the owner of the holder of the respective shares by the given date, the accountkeeper may carry out the identification process later, according to KELER's procedures. Having obtained the missing or supplementary information, TVK Plc. determines the net dividend payable and transfers it to the account of the shareholder at its accountkeeper or to his personal bank account.

Please note that in such cases TVK Plc. executes supplementary transfers only once a month and TVK Plc. doesn’t undertake any responsibility for any delays arising from such actions. The Company therefore kindly asks all shareholders to request their respective accountkeepers to perform the said shareholders identification appropriately and in a timely manner, and in case of doubt they should check whether the accountkeeper has all data required for the data to be supplied to KELER and to TVK Plc.

TVK Plc. does not undertake any obligation for late dividend payments arising from the incomplete, unsuitable or missing information from the shareholder or its accountkeeper. Holders of deposited shares will receive their tax certificates by post depending on the time needed for data processing.

2.         In case of GDR holders, dividends will be transferred by KELER through the domestic custodian bank (Unicredit Bank Hungary Zrt.) to the shareholders through The Bank of New York (the GDR issuer). In the event of any question, we would kindly ask holders of GDRs to contact The Bank of New York (101 Barclay Street, 22 West New York, NY 10286, phone: +1 212 815 3503 fax: +1 212 571 3050) the Depository for TVK's GDR programme, or its Hungarian Custodian Bank Unicredit Bank Hungary Zrt., Department of Deposits at 1054 Budapest, Szabadság tér 5-6, phone: +36 1 301 1942.

We kindly call the attention of the shareholders to the following:

For private individuals having foreign domicile the dividend is therefore payable to those who can present their name, address, mother name, date of birth, name given in birth certificate, sex, and nationality via their accountkeeper. As a base case 10% withholding tax will be deducted from the dividend. Pursuant to interstate treaties on avoidance of double taxation, a preferred tax rate may be applicable on shareholders if the shareholder delivers the certificate verifying his foreign domicile to the bank that pays the dividend, also the beneficiary document subject to the provisions of the relevant inter-state treaty, as well as the authentic Hungarian translation thereof, issued in the year of dividend payment. In the absence of such certificate of residence or any double taxation treaty between Hungary and the respective country, the applicable withholding tax is 25%, in case of EEA (European Economic Area) member state it is 10%. Such certificates of residence are individually evaluated. Please allow for due process time by the company. For legal entities having foreign domicile the dividend is therefore payable without TAX deduction only in cases, if it can be stated unequivocally that the shareholder is a legal entity having foreign domicile.

For legal entities having foreign domicile the dividend is therefore payable only in cases, if it can be stated unequivocally that the shareholder is a legal entity having foreign domicile. In this case the dividend will be paid without TAX deduction.

For entities represented by a Nominee, as a base case 25% in case of EEA member state 10% withholding tax will be deducted from the dividend. If the Nominee declares in a document signed properly, prepared in Hungarian or English and Hungarian language, on the number of shares owned by the legal entities it represents, no tax has to be withheld from the dividend payable on these shares. At the payment of the dividend, the Company applies the rules described in Section 9 of Schedule 4 of the Act XCII of 2003 on tax administration.