Cliffs Natural Slashes Dividend, To Cut Salaries

SAMANTHA BOMKAMP

NEW YORK (AP) — Iron ore and coal miner Cliffs Natural Resources Inc. said Tuesday it will slash its dividend by more than half, launch a public offering of 12 million shares and cut salaries of virtually all its salaried personnel to save money.

Also Tuesday, the company revealed in a regulatory filing the Michigan Department of Environmental Quality has issued violation notices against two mines of which it is majority owner for the unlawful release of waste and waste water. Cliffs said the department is also considering further action.

Citing uncertainty in the coal industry and the broader economy, the company cut its quarterly dividend to 4 cents from 8.75 cents previously. The dividend will be payable on June 1 to shareholders of record as of May 22. It expects to save $22 million from the move. ...