CAIRO, March 28 (Reuters) - Telecom Egypt's board has chosen Ahmed El Beheiry as the state-owned landline monopoly's new chief executive officer, two company sources told Reuters on Tuesday.

The sources had earlier on Tuesday said Chief Executive Officer Tamer Gadallah would step down and that a new CEO would be appointed at the next board meeting and that Maged Osman would remain as chairman.

The sources also said the company would pay a dividend of 1 Egyptian pound ($0.0549) per share for 2016.

Telecom Egypt reported this month an 11 percent decline in 2016 net profit. It made a net profit of 2.672 billion Egyptian pounds in 2016 compared to 2.999 billion a year earlier.

The firm reported a loss of 513 million pounds in the fourth quarter, down from a profit of 862 million pounds in the same period a year earlier.

In August the company said it acquired the country's first 4G mobile license at a cost of 7.08 billion pounds, paving the way for it to become the fourth mobile provider in Egypt.

($1 = 18.2000 Egyptian pounds)

(Reporting by Ehab Farouk; Writing by Ahmed Aboulenein; Editing by Eric Knecht and Maha El Dahan) ((ahmed.aboulenein@thomsonreuters.com; +20 2 2394 8097; Reuters Messaging: ahmed.aboulenein.thomsonreuters.com@reuters.net))