DST Systems, Inc. Announces Secondary Offering and Share Repurchase

KANSAS CITY, Mo., May 5, 2014 /PRNewswire/ -- DST Systems, Inc. ("DST Systems") (NYSE: DST) announced today that the Argyros Family Trust and certain of its affiliates (the "Argyros Group") intend to offer for sale in an underwritten secondary offering $450 million of shares of DST Systems' common stock pursuant to DST Systems' shelf registration statement filed with the Securities and Exchange Commission ("SEC").  The Argyros Group will receive all of the proceeds from this offering.  No shares of common stock are being sold by DST Systems.  Concurrently with the completion of this offering, DST Systems has agreed to purchase $200 million of common stock from the Argyros Group at the price at which the shares of common stock are sold to the public in the secondary offering, less one half of the underwriting discount (the "Repurchase"). DST Systems' obligation to consummate the Repurchase is conditioned on the completion of the secondary offering of at least $450 million (before any exercise by the underwriters of their option to purchase additional shares).

BofA Merrill Lynch and Morgan Stanley are acting as the joint bookrunners for the common stock offering.

A shelf registration statement, including a prospectus, with respect to the offering was filed by DST Systems with the SEC and became effective on May 5, 2014. A preliminary prospectus relating to the offering has been filed with the SEC. The offering will be made only by means of a prospectus supplement and accompanying base prospectus. Copies of the prospectus supplement and the accompanying prospectus relating to these securities may be obtained without charge from BofA Merrill Lynch, Attn: Prospectus Department, 222 Broadway, New York, New York 10038, email: dg.prospectus_requests@baml.com and Morgan Stanley & Co. LLC, Attn: Prospectus Department, 180 Varick Street, 2nd Floor, New York, New York 10014, email: prospectus@morganstanley.com. A copy of the prospectus supplement and accompanying base prospectus may also be obtained without charge by visiting the SEC website at www.sec.gov.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any security, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

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SOURCE DST Systems, Inc.



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