Hey CLF Investors, Where'd Your Dividend Go?

A 76% haircut to the dividend is obviously more than shareholders could stand, as evidenced by the near 19% drop in share price.

Taylor Muckerman
Taylor Muckerman and Joel South
Feb 13, 2013 at 1:30PM
Energy, Materials, and Utilities

What didn't the management team for Cliffs Natural Resources (NYSE:CLF) 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.