Astec (ASTE) to Sell Certain Assets for $55M; Declares Special One-Time Dividend

Astec Industries, Inc. (Nasdaq: ASTE) announced that on October 31, 2012, the Company entered into agreements to sell its American Augers, Inc. subsidiary as well as certain assets related to the Trencor large trencher product line of Astec Underground, Inc. to The Charles Machine Works, Inc. of Perry, Oklahoma for approximately $55 million in cash, subject to closing adjustments. The Company expects the sale to close before the end of the year. Not included in the sale are the American Augers vertical oil and gas drilling rig product line and the four-track surface miner product line manufactured at Astec Underground. The vertical oil and gas drill rig product line will be relocated to GEFCO, Inc., a subsidiary of Astec Industries, Inc. located in Enid, Oklahoma. The Company will continue to manufacture and expand the surface miner product line at its Astec Underground facility where it will also continue to manufacture its newly developed line of high pressure pump trailers used for fracking and well servicing. The total revenues of the sold business unit and product line were $42 million for the nine months ended September 30, 2012.

The Company also announced that today the Board of Directors declared a special one-time dividend of $1.00 per share to be paid on December 12, 2012 to shareholders of record as of November 20, 2012.

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