Rusal Posts $3.2 Billion Annual Loss on Prices, Writedowns - Bloomberg

Rusal Posts $3.2 Billion Annual Loss on Prices, Writedowns - Bloomberg:



"United Co. Rusal (486) posted the biggest annual loss since 2008 as the world’s largest aluminum producer wrote down the value of assets after prices of the metal fell.



The net loss widened to $3.2 billion in 2013 from a restated loss of $528 million a year earlier, Moscow-based Rusal said today in a statement. Adjusted earnings before interest, taxes, depreciation and amortization fell 29 percent to $651 million, missing the $692.6 million average of 10 analyst estimates compiled by Bloomberg. Revenue fell 10 percent to $9.8 billion as the company cut output to curb costs as prices fell.



Rusal has idled smelting capacity in the past year, taking its most inefficient plants offline and cutting 2013 output to 3.9 million metric tons. The cuts accompanied an 8 percent drop in the average price of aluminum on the London Metal Exchange. The company wrote down about $2 billion of assets, including its Taishet project, according to the statement today."



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