MOSCOW, May 28, 2010 (GLOBE NEWSWIRE) -- Mechel OAO (NYSE:MTL), one of the leading Russian mining and metals companies, announces its Board's dividend recommendation.
On May 28, 2010, Mechel's Board of Directors recommended to the annual general shareholders' meeting annual dividend of 1.09 rubles per one ordinary share (approximately $0.035 per ADR)* for the 2009 fiscal year. Also Mechel's Board recommended annual dividend of 3.29 rubles per one preferred share (about $0.11 per one preferred share and $0.055 per one preferred American Depositary Share)*.
The total dividend the Board recommended to the annual general shareholders' meeting would amount to 453,735,112.05 rubles (about $14.7 million)* for ordinary shares. The total dividend for preferred shares is 456,510,250.35 rubles (about $14.8 million)*. This dividend payment amount is in line with Mechel OAO's Charter provision regarding preferred shares.
According to the Board's decision dividend payment will be in cash by wire transfer not later than December 31, 2010.
The record date for the Mechel's share, preferred share and ADR-holders entitled to participate in the annual general shareholders' meeting and to receive dividends is May 24, 2010. The annual general shareholders' meeting will be held on June 30, 2010, at the address: 1 Krasnoarmeyskaya Ul., Moscow, Russian Federation.
* According to the Russian Central Bank exchange rate of 30.8786 RUR/$ as of May 28, 2010.
Mechel is one of the leading Russian companies. Its business includes four segments: mining, steel, ferroalloy and power. Mechel unites producers of coal, iron ore concentrate, nickel, steel, ferrochrome, ferrosilicon, rolled products, hardware, heat and electric power. Mechel products are marketed domestically and internationally.
Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of Mechel, as defined in the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. We do not intend to update these statements. We refer you to the documents Mechel files from time to time with the U.S. Securities and Exchange Commission, including our Form 20-F. These documents contain and identify important factors, including those contained in the section captioned "Risk Factors" and "Cautionary Note Regarding Forward-Looking Statements" in our Form 20-F, that could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, the achievement of anticipated levels of profitability, growth, cost and synergy of our recent acquisitions, the impact of competitive pricing, the ability to obtain necessary regulatory approvals and licenses, the impact of developments in the Russian economic, political and legal environment, volatility in stock markets or in the price of our shares or ADRs, financial risk management and the impact of general business and global economic conditions.