EX-99.2 15 v130780_ex99-2.htm

Exhibit 99.2

NOTICE TO SHAREHOLDERS

PAYMENT OF DIVIDENDS

We would like to inform our Shareholders that the Boards of the companies listed below, in meetings held on November 5^th, 2008, deliberated about the proposals presented by management with regards to the payment of dividends for the third quarter of the current fiscal year, ended on September 30^th, 2008. The amounts will be paid on November 26^th, 2008 to stockholders of record on November 14^th, 2008. The payments constitute an anticipation of the annual minimum dividend, as stated in the by-laws, as follows:

Company		Amount per share  Common and Preferred Shares
METALÚRGICA GERDAU S.A.		R$	0.26
GERDAU S.A.		R$	0.18

Please note that shares acquired on November 17^th, 2008, and thereafter, will be traded Ex-Dividend.

Additional information can be obtained at our Shareholders Department, located at

Av. Farrapos 1811, 90220-005 Porto Alegre / RS – Brazil

Phone: +55 (51) 3323.2211 – Fax: +55 (51) 3323.2281

E-mail: acionistas@gerdau.com.br

Porto Alegre, November 5^th, 2008.

Osvaldo Burgos Schirmer

Vice President

Investor Relations Director