Shareholder Information
This document is important and requires your immediate attention.
If you are in any doubt as to the action you should take, you should consult immediately your stockbroker, bank manager, solicitor, accountant or other independent financial adviser authorised under the Financial Services and Markets Act 2000.
If you have sold or otherwise transferred all your shares in International Power plc, please send this document and the accompanying documents to the purchaser or transferee or to the stockbroker, bank or other agent through whom the sale or transfer was effected, for transmission to the purchaser or transferee.
6 March 2006
Dear Shareholder
I am pleased to enclose International Power’s Annual Report to shareholders for the year ended 31 December 2005. Also included with this letter is our notice of Annual General Meeting (AGM), together with notes explaining the business of the AGM.
Due to the national spread of our shareholders and in accordance with our previous policy, our AGM this year will be held in Manchester. The Meeting will be held on Wednesday 17 May 2006 at The Lowry Hotel, 50 Dearman’s Place, Chapel Wharf, Manchester M3 5LH commencing at 10.30 am. Details of how to reach this venue are set out on page 8 of the notice of AGM. For those of you who are unable to attend the Meeting, I would urge you to complete and return your Proxy Form, either electronically or by post, in accordance with the guidance notes set out on pages 7 and 8 of the attached notice, as your voice is important to us.
In accordance with the dividend policy we set out last year, we are recommending the payment of a final dividend of 4.5p (an increase of 80% on last year). Payment of this dividend, to shareholders registered on the register at the close of business on 26 May 2006, is expected on 23 June 2006.
Enclosed with this document is a circular setting out the details of a Dividend Reinvestment Plan that has been established for the benefit of shareholders, so that instead of receiving your dividend in cash, you can reinvest your dividend in the Company’s shares and thereby increase your shareholding in the Company.
If you wish to take up this option please fill in the form attached to the Proxy Form.
In 2005 we delivered a financial result in excess of our earnings guidance issued last year. This reflects the successful integration of our new acquisitions, the continued good performance of our existing assets and the improvements in the US and UK merchant markets.
I look forward to welcoming you to the Annual General Meeting.
Yours sincerely
Sir Neville Simms
Chairman
