Hecla Mining Company’s (NYSE:HL)
Board of Directors, by unanimous written consent, has elected to declare
the regular quarterly dividend of $0.875 per share on the outstanding
Series B Cumulative Convertible Preferred Stock, for a total amount of
approximately $138,000. The cash dividend is payable October 1, 2008, to
shareholders of record on September 15, 2008. There are a total of
157,816 shares of Preferred B Stock outstanding.
The Board of Directors also unanimously elected to declare the regular
quarterly dividend on the outstanding 6.5% Mandatory Convertible
Preferred Stock in the amount of $1.625 per share and to pay such
dividend in Common Stock of Hecla, for a total amount of approximately
$3.27 million in Hecla Common Stock (with cash for fractional shares).
The value of the shares of Common Stock issued as dividends will be
calculated at 97% of the average of the closing prices of Hecla’s
Common Stock over the five consecutive trading day period ending on the
second trading day immediately preceding the dividend payment date.
There will be no fractional shares issued, so a cash adjustment will be
paid to each holder that would be entitled to a fraction of a share of
Common Stock (based on the average of the closing prices of Hecla’s
Common Stock over the five consecutive trading day period ending on the
second trading day immediately preceding the dividend payment date). The
dividend is payable October 1, 2008, to shareholders of record on
September 15, 2008. There are a total of 2,012,500 shares of 6.5%
Mandatory Convertible Preferred Stock outstanding. Hecla will capitalize
retained earnings for the fair market value of the shares of Common
Stock to be issued as dividends. Sale of the shares of Common Stock
received as a dividend by a holder will reduce a holder's proportionate
equity in the Company. The broker’s cut-off
date for the dividend on the Mandatory Convertible Preferred Stock will
be September 30 (one day before the dividend payment date) and the
calculation of the number of shares of Common Stock to be issued per
share of Mandatory Convertible Preferred Stock and the price to be paid
for fractional shares will be announced before the opening of business
on September 30, but American Stock Transfer & Trust Company, the
transfer agent for the Company’s shares of
Mandatory Convertible Preferred Stock and Common Stock, will be
instructed to issue fractional share payments to brokers and other
nominees as required against full share certificates surrendered by them
for a period of one week after the October 1, 2008, payment date of such
dividend.
Hecla Mining Company, headquartered in Coeur d'Alene, Idaho, mines,
processes and explores for silver and gold in the United States and
Mexico. A 117-year-old company, Hecla has long been well known in the
mining world and financial markets as a quality producer of silver and
gold. Hecla's common and preferred shares are traded on the New York
Stock Exchange under the symbols “HL,”
“HL-PrB” and “HL-PrC.”
Hecla's Home Page can be accessed on the Internet at www.hecla-mining.com.
Hecla Mining Company
Vicki Veltkamp, 208-769-4128
Vice
President -- Investor and Public Relations
