FOR IMMEDIATE RELEASE
CORE MOLDING TECHNOLOGIES ACCELERATES
THE EXPIRATION OF
COLUMBUS, Ohio – Core Molding Technologies, Inc. (NYSE American: CMT) today announced that its
board of directors voted to accelerate the expiration of the company’s
stockholder rights plan to March 31,
2021 to
further enhance
the company's
corporate governance
profile. The
stockholder rights
plan was
originally scheduled to expire on April 20, 2021.
Stockholders do not have to take any action as a result of
this accelerated termination.
The decision to
accelerate the expiration
of the stockholder
rights plan
was the result
of careful analysis
including input from corporate
governance experts. The plan
was adopted in
April of 2020
to protect against
any potential future use of
coercive or abusive takeover techniques and
to help ensure that the Company’s
stockholders were not deprived
of the opportunity to
realize the full and
fair value of their
investment.
In
adopting the plan, the
Board had taken note
of the unprecedented impact of
the COVID-19 pandemic on the
Company, including
in the Company’s
stock price, the
substantial increase in
trading volume and
market
volatility, and
the significant impact
the pandemic had
across the manufacturing
industry.
At the time
of
adoption of
the plan
the Company’s
stock price
was trading
at approximately
$2.40 per
share. Shares
currently trade at approximately $11.50 per share, a 380% increase.
“The acceleration of the expiration of the
stockholder rights plan demonstrates the Board's commitment
to
best corporate governance practices. Our decision incorporates valuable shareholder feedback, while
ensuring that we have appropriate measures and policies in place to manage our business effectively,”
said
David L. Duvall, president and chief executive officer.
About Core Molding Technologies,
Inc.
Core Molding
Technologies is
a manufacturer
of sheet
molding compound
("SMC") and
molder of
thermoset and
thermoplastic products.
The Company
operates in
one operating
segment as
a molder
of
thermoplastic and thermoset (plastic)
structural products. The Company's
operating segment consists of
two
component reporting units,
Core Traditional and Horizon
Plastics. The Company produces
and sells molded
products for varied
markets, including medium
and heavy-duty trucks,
automobiles, marine, construction
and other commercial markets. The Company offers customers a wide range of manufacturing
processes to
