MEMPHIS — The ServiceMaster Co. declared a second quarter 2007 cash dividend of $.12 per share payable on May 31, 2007 to shareholders of record on May 8, 2007. The $.12 per share second quarter dividend represents a 9.1 percent increase from the $.11 per share paid for the second quarter of the prior year.
On March 19, the company announced an agreement to be acquired in a transaction with CDRSVM Topco, a corporation formed by a fund managed by Clayton, Dubilier & Rice (CD&R). This was followed by the news on April 17 that the Company was notified by the Federal Trade Commission of early termination of the 30-day waiting period required under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 in connection with the transaction.
The Company has also filed a preliminary proxy statement with the Securities and Exchange Commission (SEC). Once the preliminary proxy statement has received clearance from the SEC, additional information will be provided related to the timing of the special meeting of shareholders and the closing of the transaction.
Given the progress of plans to complete the merger, which requires the approval of a majority of ServiceMaster’s outstanding shares at a special stockholders’ meeting, ServiceMaster has revised its plans to announce first quarter financial results, which will now be issued in conjunction with the filing of its first quarter Form 10-Q, rather than through its traditional earnings release.
The 10-Q filing is expected to occur around May 10.
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ServiceMaster also announced today that it will hold a special meeting of ServiceMaster stockholders on June 28, 2007 at a Chicago area location to be announced.
At the meeting, ServiceMaster stockholders will vote on the previously announced merger agreement providing for the acquisition of ServiceMaster by CDRSVM Topco, Inc., a corporation formed by a fund managed by Clayton, Dubilier & Rice, Inc. Stockholders of record as of the close of business on Tuesday, May 22, 2007 will be entitled to notice of and to vote at the special meeting. Meeting materials are expected to be mailed to stockholders of record beginning Thursday, May 24, 2007.
The ServiceMaster Board of Directors has approved the merger agreement and recommends adoption of the agreement by ServiceMaster's stockholders. Completion of the transaction is subject to certain conditions, including the approval of a majority of ServiceMaster’s outstanding shares and regulatory approval, and other closing conditions that must be satisfied or waived as permitted by law.