WHX hires Jefferies to explore recapitalization options

By Ted A. Knutson

Washington, Nov. 15 -- WHX Corp. said Monday it has retained Jefferies & Co. to assist in the evaluation of possible recapitalization options while acknowledging it won't be able to pay dividends "in the foreseeable future" on the company's convertible preferred stock,

The last dividend was paid on the preferreds on Oct. 31, 2000.

As of Sept. 30, the company owed $77.7 million in dividends cumulatively on 2.6 million shares of series A convertible preferred stock and 2.9 million shares of series B convertible preferred stock

With the failure to pay, preferred shareholders are eligible for two seats on the company's board.

WHX said a committee of preferred shareholders has been formed and has retained legal and financial advisors.

The New York-based metals and construction supplies manufacturer made the statements in a 10-Q filing with the Securities and Exchange Commission

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