Aldila, Inc., the maker of graphite golf shafts, declared a special cash dividend of $5.00 per share to be paid on March 10, 2008 to shareholders of record as of February 25, 2008. The company also announced that it has signed a credit facility with Key Bank National Association. It plans to use borrowings from the credit facility, plus funds on hand from its previously announced sale of its 50% interest in Carbon Fiber Technology LLC, to pay this special dividend and provide future working capital coverage when and if needed.
Since May of 2004 Aldila has declared approximately $46.2 million in dividends, including the latest one and special dividends of $1.00 per share paid on June 21, 2005 and December 16, 2005.
Aldila also reported that its Board of Directors will continue to consider payment of quarterly dividends at each quarterly Board Meeting, subject to the continued positive financial performance. Aldila began paying a $0.05 dividend in June of 2004 and has paid a quarterly dividend of $0.15 per share since September 17, 2005.
The company has also continued to invest in itself during this period, spending approximately $13.6 million in capital expenditures, including building a state-of-the-art new manufacturing facility in Vietnam and expanding its composite prepreg and film capabilities. In addition, the company has returned $8.2 million to shareholders in the form of stock buyback programs during this period.
The credit facility with Key Bank of Ohio allows the Company to borrow up to $15.0 million during the next five years. This credit facility is a combination of a term loan and a revolving loan. The term loan is due and payable in five years.
