9/24/2010 1:23:00 AM
NEWS BRIEFS
Anixter Paying Out $110m in Special Dividend

Anixter International’s Board of Directors declared the payment of a special dividend of $3.25 per common share, or a total cash outlay of approximately $110 million. 
 

“Over the course of the last 18 months, we successfully navigated through one of the most serious economic recessions that our company has ever experienced,” explained CEO Robert Eck. “During this time, we were not only able to maintain a solid level of profitability, but also generated record levels of cash flow.”
 

In the last six quarters Anixter generated $520 million in free cash flow, or $14.77 per share, while using $330 million of this cash to reduce outstanding debt. This allowed the company to return capital to shareholders while still maintaining ample resources, including excess liquidity of more than $400 million, to support growth.
 

“While we continue to look for strategic acquisitions that can profitably grow our business, we will only enter into those transactions when both the strategic fit and the acquisition price make sense,” Eck concluded.
 

Anixter reported sales at its worldwide OEM supply business, including Anixter Fasteners, grew 20% in the second quarter of 2010, which included a 3% organic gain over a strong first quarter.   
 

Sales at its North American OEM Supply segment, including fasteners, achieved organic gains of 7.2% to $131.6 million during the second quarter of 2010, boosted by 16% growth with industrial customers. 
 

Six-month OEM Supply sales in North America slipped 2% to $262.3 million. Web: anixter.com  ©2010 GlobalFastenerNews.com

Related Stories:

• Alcoa Fastener Segment Sees ATOI Jump

• Dreamliner Boosts Earnings Forecast at Precision Castparts