Capital Stock

12 Months Ended

Dec. 31, 2011

Capital Stock

9. Capital Stock

Preferred stock – The Company has authorized Serial Preferred Stock with a par value of $1.00. None of the 500,000 authorized shares have been issued.

Common Stock – As of December 31, 2011, 5,113 Lydall stockholders of record held 17,147,629 shares of Common Stock.

Dividend policy – The Company does not pay a cash dividend on its Common Stock. The Company’s Domestic Credit Facility, entered into on June 16, 2011, does not place any restrictions on cash dividend payments, so long as the payments do not place the Company in default.