Los Angeles-based Reliance Steel & Aluminum Co. said on Thursday that its board of directors has declared a two-for-one stock split, in the form of a 100 percent stock dividend on its common stock and a 20 percent increase in the dividend rate.

The common stock split will be effected by issuing one additional share of common stock for each share held by shareholders of record on July 5.. The additional shares will be distributed on July 19. Beginning with the 2006 third quarter dividend payment, the cash dividend will be adjusted to 6 cents per share of common stock, representing a 20 percent increase over the current 5 cents per share, after giving effect to the two-for-one stock split.

Reliance’s total common shares outstanding will increase from approximately 37.6 million to 75.2 million. The company has paid regular quarterly dividend payments for 46 consecutive years, it said.

Reliance share closed up 24 cents to $84.30 on Thursday. “We are committed to increasing shareholder value and believe that this stock split and related dividend rate increase will create a more favorable environment in terms of trading volume, liquidity and marketability of our common stock that should prove attractive to investors,” said Chief Executive David Hannah in a statement.