Superior Industries International, a global aluminum wheel supplier for OEMs and the European aftermarket, announced that its board of directors has determined to suspend the quarterly common dividend.
According to Majdi Abulaban, president and CEO of Superior, the decision was made in order to reinvest in the business and reduce debt.
“While Superior had substantial availability under committed credit lines and cash totaling $264 million at the end of the second quarter of 2019, we believe that focusing our capital allocation strategy on reinvestment in the business and reducing our net debt position will deliver the most long-term value to our shareholders. As a result, our board of directors determined to suspend our common dividend, allowing Superior to reallocate approximately $11 million of cash on an annualized basis to support this strategy,” said Abulaban.
