What didn't the management team for Cliffs Natural Resources unleash upon shareholders and the market in its latest release? In addition to the previously noted $1.37 billion in non-cash charges, Cliffs decided to drastically cut its dividend by 76% and issue 9 million common shares (or 6% of current outstanding shares). These issues could be long-term positives, but current investors are obviously put off by these radical actions. Get a deeper perspective on these issues and the fourth quarter overall from Motley Fool analyst Taylor Muckerman below.
A deeper dive into Cliffs Natural Resources
Cliffs Natural Resources has grown from a domestic iron ore producer into an international player in both the iron ore and metallurgical coal markets. It has performed in line with many competitors in a very cyclical industry because of several factors that are likely to remain advantageous for Cliffs' management, despite its recent poor performance. For details on these advantages and more, click here now to check out The Motley Fool's brand new premium report on the company.
The article Hey CLF Investors, Where'd Your Dividend Go? originally appeared on Fool.com.
Joel South has no position in any stocks mentioned. Taylor Muckerman has no position in any stocks mentioned. The Motley Fool owns shares of ArcelorMittal. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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