UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 


FORM 8-K

CURRENT REPORT
Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):   July 17, 2008  

NUCOR CORPORATION
(Exact name of registrant as specified in its charter)

Delaware
(State or other jurisdiction of incorporation)

1-4119
 
13-1860817
(Commission File Number)
 
(IRS Employer Identification No.)

1915 Rexford Road, Charlotte, North Carolina
 
28211
(Address of principal executive offices)
 
(Zip Code)

Registrant's telephone number, including area code: (704) 366-7000

N/A
(Former name or former address, if changed since last report.)


Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o  
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o  
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o  
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o  
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
 
 


 
 

 
 
Item 2.02 Results of Operations and Financial Condition

On July 17, 2008, Nucor Corporation issued a news release reporting its financial results for the fiscal quarter ended June 28, 2008. A copy of the news release is furnished as Exhibit 99.1 and incorporated herein by reference.

The information contained in this Current Report on Form 8-K, including the exhibit attached hereto, is being furnished and shall not be deemed to be “filed” for the purposes of Section 18 of the Securities and Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. Furthermore, the information contained in this Current Report on Form 8-K shall not be deemed to be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, as amended.


Item 9.01 Financial Statements and Exhibits
 
(c)  
Exhibits

99.1 News Release of Nucor Corporation, issued July 17, 2008
 
 
2

 
 
SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
     
  NUCOR CORPORATION
 
 
 
 
 
 
By:   /s/ Terry S. Lisenby
 
Terry S. Lisenby
 
Chief Financial Officer, Treasurer and
Executive Vice President
 
Dated: July 17, 2008

 
3

 
 
INDEX TO EXHIBITS
 
Exhibit No.   Description
 
99.1   News Release of Nucor Corporation, issued July 17, 2008
 

 
4

 
Unassociated Document
 
News Release

 

NUCOR REPORTS RECORD RESULTS FOR SECOND QUARTER AND FIRST HALF OF 2008
 
 
CHARLOTTE, NORTH CAROLINA, July 17, 2008 - Nucor Corporation (NYSE: NUE) announced today record consolidated net earnings for the second quarter of 2008 of $580.8 million ($1.94 per diluted share), an increase of 68% over $344.9 million ($1.14 per diluted share) earned in the second quarter of 2007 and an increase of 42% over the $409.8 million ($1.41 per diluted share) earned in the first quarter of 2008.
 
In the first half of 2008, Nucor’s consolidated net earnings increased 36% to a record $990.5 million ($3.36 per diluted share), compared with net earnings of $725.9 million ($2.39 per diluted share) in last year’s first half.
 
In the second quarter of 2008, Nucor’s consolidated net sales increased 70% to a record $7.09 billion, compared with $4.17 billion in the second quarter of 2007 and increased 43% compared with $4.97 billion in the first quarter of 2008. Average sales price per ton increased 24% over the second quarter of 2007 and increased 19% over the first quarter of 2008. Total tons shipped to outside customers were 7,734,000 tons in the second quarter of 2008, an increase of 38% over the second quarter of 2007 and an increase of 20% over the first quarter of 2008.
 
In the first half of 2008, Nucor’s consolidated net sales increased 52% to a record $12.06 billion, compared with $7.94 billion in last year’s first half. Average sales price per ton increased 21% while total tons shipped to outside customers increased 26% from the first half of 2007.
 
The increases in sales and net earnings are also attributable to the significant acquisitions made by Nucor in the last 18 months, specifically, the acquisition of Harris Steel Group, Inc. (“Harris”) in March 2007 and The David J. Joseph Company (“DJJ”) in February 2008. In addition, Nucor has used these two companies as platforms for additional acquisitions to grow the rebar fabrication and scrap businesses.
 
Nucor’s performance is not tied to any one steel market due to our product line diversity. With the acquisition of Harris and other downstream products companies, Nucor’s steel products annual capacity has more than doubled since the beginning of 2007 to four million tons. In addition, these companies provide our steel mills with a profitable base load of volume.
 
DJJ’s scrap processing assets broaden Nucor’s raw materials strategy and provide a partial hedge to our steel mills against scrap market volatility, allowing us to optimize Nucor’s profitability.
 
The average scrap and scrap substitute cost per ton used in the second quarter of 2008 was $456, an increase of 57% over $291 in the second quarter of 2007 and an increase of 37% compared with $333 in the first quarter of 2008. The average scrap and scrap substitute cost per ton used in the first half of 2008 was $396, an increase of 44% over $275 in the first half of 2007.
 
Total energy costs in the second quarter of 2008 increased $5 per ton from the second quarter of 2007 and increased $2 per ton from the first quarter of 2008. During the first half of 2008, total energy costs increased $5 per ton compared with the first half of 2007.
 

Page 1 of 6

Nucor Executive Offices: 1915 Rexford Road, Charlotte, North Carolina 28211
Phone 704-366-7000 Fax 704-362-4208 www.nucor.com

 
News Release

 

NUCOR REPORTS RECORD RESULTS FOR SECOND QUARTER AND FIRST HALF OF 2008
(Continued)

Nucor incurred a record charge to value inventories using the last-in, first-out (LIFO) method of accounting of a $214.0 million ($0.42 per diluted share, after tax) in the second quarter of 2008, compared with a charge of $66.5 million ($0.13 per diluted share, after tax) in the second quarter of 2007 and a charge of $69.0 million ($0.14 per diluted share, after tax) in the first quarter of 2008. The LIFO charge in the first half of 2008 was a record $283.0 million ($0.57 per diluted share, after tax), compared with a charge of $91.0 million ($0.18 per diluted share, after tax) in the first half of 2007. The LIFO expense in the second quarter of 2008 was greater than the total LIFO expense for all of 2007.
 
In the steel mills segment, steel production increased 7% to a record 11,874,000 tons in the first half of 2008, compared with 11,103,000 tons produced in the first half of 2007.
 
Total steel shipments increased 9% to a record 12,068,000 tons in the first half of 2008, compared with 11,067,000 tons in last year’s first half. Steel shipments to outside customers increased 5% to 10,597,000 tons in the first half of 2008, compared with 10,119,000 tons in last year’s first half.
 
In the steel products segment, steel joist production during the first half of 2008 increased to 272,000 tons, compared with 265,000 tons in the first half of 2007. Steel deck sales increased to a record 255,000 tons in the first half of 2008, compared with 232,000 tons in last year's first half. Cold finished steel sales increased to a record 279,000 tons, compared with 206,000 tons in the first half of 2007. Sales of fabricated concrete reinforcing steel were 411,000 tons in the first half of 2008 compared to 204,000 in the first half of 2007.
 
In late May 2008, Nucor completed a public offering of 27,667,580 common shares at an offering price of $74.00 per share. Gross proceeds of the offering were approximately $2.05 billion, which Nucor intends to use for general corporate purposes including acquisitions, capital expenditures, working capital needs and repayment of debt. Also in early June 2008, Nucor issued $1.00 billion in debt with interest rates ranging from 5% to 6.4% and with maturities from 2013 to 2037. Nucor’s long-term debt ratings of A+ by Standard and Poor’s and A1 by Moody’s Investors Services are the highest ratings of any metals and mining company in North America.
 
In June, Nucor’s board of directors declared a supplemental dividend of $0.20 per share in addition to the $0.32 per share base dividend. The total dividend of $0.52 per share is payable on August 11, 2008 to stockholders of record on June 30, 2008. Nucor began paying a supplemental dividend in the second quarter of 2005, allowing stockholders to participate in our successful pay-for-performance business model.
 
 
Also in June, Nucor announced that its wholly owned subsidiary, Harris Steel, Inc., signed a Purchase Agreement to acquire all of the issued and outstanding common shares of Ambassador Steel Corporation (“Ambassador”) for a cash purchase price of approximately $185 million. Based in Auburn, Indiana, Ambassador is a fabricator and distributor of concrete reinforcing steel and related products. The transaction is expected to close during the third quarter of 2008 after satisfactory resolution of certain closing conditions.
 
 
Page 2 of 6

Nucor Executive Offices: 1915 Rexford Road, Charlotte, North Carolina 28211
Phone 704-366-7000 Fax 704-362-4208 www.nucor.com

 
News Release

 
NUCOR REPORTS RECORD RESULTS FOR SECOND QUARTER AND FIRST HALF OF 2008
(Continued)

 
In July, Nucor completed the acquisition of 50% of the stock of Duferdofin - Nucor S.r.l., for the purchase price of €423.5 million (approximately $658 million). The company will operate from its current headquarters in San Zeno, Italy. Duferdofin - Nucor S.r.l. operates a steel melting and bloom/billet caster in San Zeno as well as rolling mills in Pallanzeno and Giammoro. Total production in 2007 was approximately one million tons. A new merchant bar mill, which is expected to produce approximately 450,000 tons, is under construction at the Giammarro plant and is expected to be fully operational in late 2008.
 
 
Two other projects were also announced in the second quarter. Nucor applied for a permit to build a $2 billion state-of-the-art iron-making facility in St. James Parish, Louisiana.  Sites outside of the United States are still being considered, and the site selection and capital investment are subject to approval by Nucor’s board of directors.  The facility is expected to produce 3,000,000 tons of pig iron, employing the latest technologies to reduce emissions.
 
 
Nucor also announced the signing of a memorandum of understanding with Sidenor S.A. (ATH: SID) to purchase a 34% share of a new joint venture that will be formed for the production and distribution of long steel products and plate in the Balkans, Turkey, Cyprus and North Africa.  Final agreement to establish the joint venture is dependent upon execution of definitive agreements, completion of due diligence and approval of regulatory bodies and the boards of directors of both companies.
 
 
We expect that third quarter results will be strong, with earnings in the range of $1.80 to $1.85 per diluted share. We expect continued strength in our sheet, plate, beam and bar businesses due to the solid global demand for steel. Although our downstream businesses will be challenged by rising steel prices, we expect continued good results from this segment. The forecasted range of $1.80 to $1.85 per diluted share for the third quarter reflects an increase in the diluted average shares outstanding over the second quarter of approximately 6% due to Nucor’s common stock offering on May 29, 2008. (The additional shares were outstanding only for a portion of the second quarter, resulting in an increase of more than 3% in diluted shares outstanding from the first quarter of 2008.)
 
Headquartered in Charlotte, N.C., Nucor makes more steel in America than any other company. Nucor and affiliates are manufacturers of steel products, with operating facilities primarily in the U.S. and Canada. Products produced include: carbon and alloy steel - in bars, beams, sheet and plate; steel joists and joist girders; steel deck; fabricated concrete reinforcing steel; cold finished steel; steel fasteners; metal building systems; light gauge steel framing; steel grating and expanded metal; and wire and wire mesh. Nucor also brokers ferrous and nonferrous metals, pig iron and HBI/DRI; supplies ferro-alloys; and processes ferrous and nonferrous scrap. Nucor is North America's largest recycler.
 
 
Page 3 of 6

Nucor Executive Offices: 1915 Rexford Road, Charlotte, North Carolina 28211
Phone 704-366-7000 Fax 704-362-4208 www.nucor.com

 
News Release

 
NUCOR REPORTS RECORD RESULTS FOR SECOND QUARTER AND FIRST HALF OF 2008
(Continued)

Certain statements contained in this news release are “forward-looking statements” that involve risks and uncertainties. Factors that might cause the Company’s actual results to differ materially from those anticipated in forward-looking statements include, but are not limited to: (1) the sensitivity of the results of our operations to prevailing steel prices and the changes in the supply and cost of raw materials, including scrap steel; (2) market demand for steel products; (3) energy costs and availability; (4) competitive pressure on sales and pricing, including pressure from imports and substitute materials; and (5) capital investments and their impact on our performance. These and other factors are outlined in Nucor’s regulatory filings with the Securities and Exchange Commission, including those in Nucor’s December 31, 2007 Annual Report on Form 10-K. The forward-looking statements contained in this news release speak only as of this date, and Nucor does not assume any obligation to update them.
 
You are invited to listen to the live broadcast of Nucor’s conference call in which management will discuss Nucor’s second quarter results on July 17, 2008 at 2:00 p.m. eastern time. The conference call will be available over the Internet at www.nucor.com, under Investor Relations.
 
Unaudited figures are as follows:
 
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (Unaudited)
(In thousands, except per share data)

   
Six Months (26 Weeks)
 
 Three Months (13 Weeks)
 
   
Ended
 
Ended
 
   
June 28,
 
June 30,
 
 June 28,
 
June 30,
 
 
 
2008
 
2007
 
 2008
 
2007
 
NET SALES
 
$
12,064,868
 
$
7,936,995
 
$
7,090,599
 
$
4,168,110
 
COSTS, EXPENSES AND
                         
   OTHER:
                         
  Cost of products sold
   
9,951,247
   
6,395,503
   
5,879,655
   
3,403,905
 
  Marketing, administrative and other expenses
   
389,886
   
285,135
   
220,172
   
148,925
 
  Interest expense (income), net
   
45,079
   
(4,183
)
 
26,734
   
4,979
 
  Minority interests
   
179,707
   
138,159
   
87,936
   
77,587
 
     
10,565,919
   
6,814,614
   
6,214,497
   
3,635,396
 
EARNINGS BEFORE
                         
  INCOME TAXES
   
1,498,949
   
1,122,381
   
876,102
   
532,714
 
 
                         
    Provision for income taxes
   
508,441
   
396,502
   
295,348
   
187,864
 
      NET EARNINGS
 
$
990,508
 
$
725,879
 
$
580,754
 
$
344,850
 
                           
NET EARNINGS PER SHARE:
                         
  Basic
 
$
3.38
 
$
2.41
 
$
1.95
 
$
1.14
 
  Diluted
 
$
3.36
 
$
2.39
 
$
1.94
 
$
1.14
 
                           
AVERAGE SHARES OUTSTANDING:
                         
  Basic
   
293,291
   
301,168
   
298,262
   
301,302
 
  Diluted
   
295,075
   
303,406
   
299,842
   
303,330
 
 
Page 4 of 6

Nucor Executive Offices: 1915 Rexford Road, Charlotte, North Carolina 28211
Phone 704-366-7000 Fax 704-362-4208 www.nucor.com

 
News Release

NUCOR REPORTS RECORD RESULTS FOR SECOND QUARTER AND FIRST HALF OF 2008
(Continued)
 
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)
(In thousands)
   
June 28, 2008
 
December 31, 2007
 
Assets
         
CURRENT ASSETS:
         
  Cash and cash equivalents
 
$
2,791,880
 
$
1,393,943
 
  Short-term investments
   
-
   
182,450
 
  Accounts receivable, net
   
2,611,590
   
1,611,844
 
  Inventories
   
2,498,018
   
1,601,600
 
  Other current assets
   
282,269
   
283,412
 
               
    Total current assets
   
8,183,757
   
5,073,249
 
               
PROPERTY, PLANT AND EQUIPMENT, NET
   
3,829,472
   
3,232,998
 
               
GOODWILL
   
1,743,025
   
847,887
 
               
OTHER INTANGIBLE ASSETS, NET
   
931,985
   
469,936
 
               
OTHER ASSETS
   
304,217
   
202,052
 
               
TOTAL ASSETS
 
$
14,992,456
 
$
9,826,122
 
               
Liabilities and stockholders' equity
             
CURRENT LIABILITIES:
             
  Short-term debt
 
$
1,439
 
$
22,868
 
  Long-term debt due within one year
 
175,000
 
-
 
  Accounts payable
 
1,826,777
 
691,668
 
  Federal income taxes payable
 
45,019
 
-
 
  Salaries, wages and related accruals
 
435,464
 
436,352
 
  Accrued expenses and other current
         
   liabilities
 
318,667
 
431,148
 
           
      Total current liabilities
 
2,802,366
 
1,582,036
 
           
LONG-TERM DEBT DUE AFTER ONE YEAR
 
3,091,600
 
2,250,300
 
           
DEFERRED CREDITS AND OTHER LIABILITIES
 
702,757
 
593,423
 
           
MINORITY INTERESTS
 
315,368
 
287,446
 
           
STOCKHOLDERS' EQUITY:
         
  Common stock
 
149,566
 
149,302
 
  Additional paid-in capital
 
1,606,541
 
256,406
 
  Retained earnings
 
7,461,322
 
6,621,646
 
  Accumulated other comprehensive
         
   income, net of income taxes
 
260,261
 
163,362
 
   
9,477,690
 
7,190,716
 
  Treasury stock
 
(1,397,325)
 
(2,077,799)
 
           
    Total stockholders' equity
 
8,080,365
 
5,112,917
 
           
TOTAL LIABILITIES AND STOCKHOLDERS'
         
   EQUITY
 
$
14,992,456
   
9,826,122
 
 
Page 5 of 6

Nucor Executive Offices: 1915 Rexford Road, Charlotte, North Carolina 28211
Phone 704-366-7000 Fax 704-362-4208 www.nucor.com

 
News Release

NUCOR REPORTS RECORD RESULTS FOR SECOND QUARTER AND FIRST HALF OF 2008
(Continued)
 
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
(In thousands)

   
Six Months  (26 Weeks) Ended
 
   
June 28, 2008
 
June 30, 2007
 
Operating activities:
          
  Net earnings
 
$
990,508
 
$
725,879
 
  Adjustments:
             
   Depreciation
   
231,232
   
196,149
 
    Amortization
   
32,066
   
7,064
 
    Stock-based compensation
   
31,148
   
23,386
 
    Deferred income taxes
   
(66,881
)
 
(52,976
)
    Minority interests
   
179,702
   
138,156
 
    Settlement of derivative hedges
   
11,166
   
(3,873
)
    Changes in assets and liabilities
             
    (exclusive of acquisitions):
             
        Accounts receivable
   
(591,318
)
 
(196,132
)
        Inventories
   
(570,570
)
 
(144,500
)
        Accounts payable
   
494,549
   
203,970
 
        Federal income taxes
   
123,517
   
5,462
 
        Salaries, wages and related expenses      
   
(14,505
)
 
(142,558
)
        Other
   
(22,375
)
 
(22,463
)
               
Cash provided by operating activities
   
828,239
   
737,564
 
               
Investing activities:
             
  Capital expenditures
   
(501,669
)
 
(198,674
)
  Sale of interest in affiliates
   
-
   
29,500
 
  Investment in affiliates
   
(27,903
)
 
(15,040
)
  Disposition of plant and equipment
   
6,551
   
740
 
  Acquisitions (net of cash acquired)
   
(1,591,817
)
 
(1,083,616
)
  Purchases of investments
   
(209,605
)
 
(276,945
)
  Proceeds from the sale of investments
   
392,055
   
1,336,713
 
  Proceeds from currency derivative contracts
   
1,132,222
   
517,241
 
  Settlement of currency derivative contracts
   
(1,114,652
)
 
(511,394
)
               
Cash used in investing activities
   
(1,914,818
)
 
(201,475
)
               
Financing activities:
             
  Net change in short-term debt
   
(21,429
)
 
(64,231
)
  Proceeds from the issuance of long-term debt
   
1,589,715
   
-
 
  Repayments of long-term debt
   
(600,000
)
 
-
 
  Issuance of common stock
   
1,994,565
   
9,895
 
  Bond issuance costs
   
(6,937
)
 
-
 
  Excess tax benefits from stock-based compensation
   
9,200
   
9,500
 
  Distributions to minority interests
   
(153,218
)
 
(149,857
)
  Cash dividends
   
(327,380
)
 
(365,836
)
  Acquisition of treasury stock
   
-
   
(136,755
)
               
Cash provided by (used in) financing activities
   
2,484,516
   
(697,284
)
  
             
Increase (decrease) in cash and cash equivalents
   
1,397,937
   
(161,195
)
               
Cash and cash equivalents - beginning of year
   
1,393,943
   
785,651
 
 
             
Cash and cash equivalents - end of six months
 
$
2,791,880
 
$
624,456
 
 
Page 6 of 6

Nucor Executive Offices: 1915 Rexford Road, Charlotte, North Carolina 28211
Phone 704-366-7000 Fax 704-362-4208 www.nucor.com