NACCO Industries Declares Quarterly and Special Dividends And Extends $50 Million Stock Repurchase Program
CLEVELAND, Nov. 14, 2012 /PRNewswire/ -- NACCO Industries, Inc. (NYSE: NC) today announced that at its first regular board meeting following the spin-off of Hyster-Yale Materials Handling, Inc. ("Hyster-Yale") on September 28, 2012, the Board of Directors declared a regular quarterly cash dividend of 25 cents per share and a one-time special cash dividend of $3.50 per share, and announced an extension of the Company's current stock repurchase program.
NACCO and its predecessor public company, The North American Coal Corporation, have consistently paid dividends to public shareholders since 1956. The announcement of the regular 25 cents per share cash dividend payout for the fourth quarter establishes a new dividend level following the spin-off of Hyster-Yale. The special dividend reflects the Board's confidence in the financial strength and business prospects of The North American Coal Corporation, Hamilton Beach Brands, Inc. and Kitchen Collection LLC subsidiaries, the cash available on the Company's balance sheet, and takes advantage of the current federal tax rate on dividends. The dividends are payable on both the Class A and Class B Common Stock, and will be paid December 14, 2012 to stockholders of record at the close of business on November 30, 2012.
NACCO's Board of Directors also approved an extension of the Company's current stock repurchase program through December 31, 2013. The current program would have expired on December 31, 2012. The stock repurchase program permits the repurchase of up to $50 million of the Company's outstanding Class A common stock. The Company previously purchased 30,851 shares for $2.7 million, leaving $47.3 million available for repurchase. The timing and amount of any repurchases will be determined at the discretion of the Company's management based on a number of factors, including the availability of capital, other capital allocation alternatives and market conditions for the Company's Class A common stock. The share repurchase program does not require the Company to acquire any specific number of shares. It may be modified, suspended, extended or terminated by the Company at any time without prior notice and may be executed through open market purchases, privately negotiated transactions or otherwise. All or part of the repurchases may be implemented under a Rule 10b5-1 trading plan, which would allow repurchases under pre-set terms at times when the Company might otherwise be prevented from doing so.
Forward-looking Statements Disclaimer
The statements contained in the news release that are not historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are made subject to certain risks and uncertainties, which could cause actual results to differ materially from those presented. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof. Factors that may cause actual results to differ materially from those in the forward-looking statements include those set forth under the heading "Risk Factors" in NACCO's most recent 10-K filed with the Securities and Exchange Commission.
SOURCE NACCO Industries, Inc.