Butler Manufacturing Company Announces Reduced Quarterly Cash Dividend.

Business Editors

KANSAS CITY, Mo.--(BUSINESS WIRE)--June 17, 2003

The Board of Directors of Butler Manufacturing Company today declared a quarterly dividend of $.04 per share of Butler common stock payable on July 16, 2003 to shareholders of record on July 1, 2003. The previous quarterly dividend was $.18 per share paid in April 2003.

Commenting on the dividend, John Holland, chairman and chief executive officer, said, "The market for nonresidential construction continues in cyclical decline. F.W. Dodge reports year-to-date order rates through April down 11% compared with year ago. Entering the year, expectations were that demand would be even with 2002. It does not appear this will be the case. With a continuing poor market and the uncertainty prevalent in the general economy today, the board determined that paring back the dividend was the fiscally responsible course to take."

"While we have lowered the dividend we remain positive in our outlook for the long-term, but cautious with regard to the current environment. The board of directors and management believes the reduced dividend is the right move for the company, is consistent with our current performance, and will provide additional financial flexibility to continue to realign our cost base and grow the company," Mr. Holland concluded.

Butler Manufacturing Company is the world's leading producer of pre-engineered building systems, a leading supplier of architectural aluminum systems and components, and provides construction and real estate services for the nonresidential construction market.

Statements in this press release concerning the company's business outlook or future economic performance; anticipated profitability, revenues, expenses or other financial items, together with other statements that are not historical facts, are "forward-looking statements" as that term is defined under the Federal Securities Laws. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those stated in such statements. Such risks and uncertainties include, but are not limited to, industry cyclicality, fluctuations in customer demand and order pattern, the seasonal nature of the business, changes in pricing or other actions by competitors, and general economic conditions, as well as other risks detailed in the company's 2002 Annual Report to Shareholders on page 16.

The information and opinions contained in this release have been furnished and approved by Butler Manufacturing Company. We are retained by them as investor relations counsel.