Canada-based Essar Steel Algoma reports loss for fiscal year

Thursday, 17 June 2010 00:54:02 (GMT+3)   |  
Canadian, Ontario-based Essar Steel Algoma Wednesday reported a net loss of US$398.9 million for the fiscal year ended March 31, 2010. The loss was attributable to lower sales volumes and lower prices in steel markets. For the three month period ending March 31, 2010, Essar Steel Algoma reported a net loss of $68.4 million. Shipments for fiscal year 2010 were 2,223,966 tons, down 14 percent from the prior year. Shipments for the quarter were 697,639 tons. Sales for fiscal 2010 were $1,409.4 million, down $1,138.1 million compared to the prior fiscal year. Sales for the fourth quarter were $464.8 million.

Chief Executive Officer Armando Plastino commented on the quarter, "More aggressive cost control measures are required in light of the cyclicality of steel markets in combination with volatile input costs. We are confident that our employees and stakeholders are aware of this challenge and will continue working together to ensure a viable and sustainable business going forward."

A member of the Essar Group, Essar Steel Algoma Inc. is based in Sault Ste. Marie, Ontario. As a fully integrated steel producer, the Company derives its revenues primarily from the manufacture and sale of hot and cold rolled steel products including sheet and plate.


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