FORT WAYNE, INDIANA, March 4, 2008 – Steel Dynamics, Inc. (NASDAQ-GS:
STLD) today announced that its board of directors has approved a
two-for-one split of the company’s common stock, to be effected in the
form of a 100% stock dividend, and also approved a 33 percent increase
in the company’s quarterly cash dividend.
“These actions by our board are a clear indication of the confidence
we have in our ability to continue driving growth and creating value for
our shareholders, by capitalizing on many exciting opportunities that
lie ahead,” said Keith Busse, Chairman and CEO of Steel Dynamics.
Two-For-One Stock Split
Common shareholders of record at the close of business on March 19,
2008, will receive one additional share of common stock for each share
of common stock owned as of that date. The company expects to distribute
the additional shares on or about March 28, 2008. To accommodate the
stock split, the board of directors also authorized a two-for-one split
of the company’s total authorized common shares, from 200 million to 400
million shares. The company’s articles of incorporation will be amended
to reflect that change. Under Indiana law, no shareholder approval is
required to effect this transaction.
Cash Dividend
On a pre-split basis, the company paid an annual cash dividend of
$.60 per common share, or a quarterly cash dividend of $.15 per common
share, comprised of a $.10 regular dividend and a $.05 special dividend
during 2007. Effective with the first quarter of 2008, the board of
directors has authorized the elimination of the distinction between
“regular” and “special” dividends and has also authorized a 33 percent
increase in the company’s quarterly cash dividend, now resulting in a
pre-split regular dividend of $.20 per common share (or a post-split
regular dividend of $.10 per common share), payable to shareholders of
record at the close of business on March 31, 2008, with an expected
distribution date of April 11, 2008.
All future transactions measured by reference to a specific number of
common shares, such as outstanding stock options, securities
convertible into common shares, the payment of dividends, shares
authorized by existing share repurchase programs, as well as the related
option, conversion or dividend prices or amounts will be adjusted to
reflect the two-for-one split.
Contact:
Fred Warner, Investor Relations Manager
(260) 969-3564 or fax (260) 969-3590
f.warner@steeldynamics.com
Forward Looking Statements
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