Problems in Europe cut value of ArcelorMittal by £2.6bn
The world's biggest steelmaker, ArcelorMittal, is slashing the value of its European business by about $4.3bn (£2.6bn) after the eurozone's economic woes hit demand.
ArcelorMittal said steel demand has fallen by about 8 per cent in Europe this year, adding to the problems the industry is already facing from long-term, excess-production capacity.
This year's decline in demand brings the cumulative fall in steel consumption to about 29 per cent since 2007. The company said the non-cash charge would be taken in the fourth quarter and would affect its net profit, which it will report on 6 February.
The announcement comes after the group disclosed a net loss of $709m last month and identified cutting its massive debt, which hit $23.2bn at the end of September, as a priority. ArcelorMittal also proposed last month slashing investor payouts by nearly three quarters next year in a move that will see Lakshmi Mittal, the chief executive and 41 per cent shareholder, lose dividends worth $350m.
Simon Calder looks at communities fighting back against the poachers
Arsenal 1 Everton 1: Substitute equalises with six minutes to go
booksGeese, gorillas, grandads... and growing up
Guide dog mauled while helping owner deliver Christmas cards
The poorest pay the price for austerity: Workers face biggest fall in living standards since Victorian era
Nelson Mandela’s complex bond with Britain
Deadly ice storm sees US temperatures drop to -29C
10 stone five-year-old taken into care
- 1 A forgotten episode in Russian history leaves links with the Philippines
- 2 Turning up the voice of America
- 3 The man who made Femen: New film outs Victor Svyatski as the mastermind behind the protest group and its breast-baring stunts
- 4 Mass murder in the Middle East is funded by our friends the Saudis
- 5 Japan cracks down on leaks after scandal of Fukushima nuclear power plant
- < Previous
- Next >
iJobs Money & Business
£25000 - £50000 per annum + Benefits + Bonus: Harrington Starr: C++ Server Dev...
£300 - £350 per day: Harrington Starr: Leading Electronic Trading Software Ven...
£80000 - £100000 per annum + benefits + bonus: Harrington Starr: Project Manag...
£50000 - £60000 per annum + benefits + bonus: Harrington Starr: Business Analy...