Friday, August 14, 2009

ThyssenKrupp posts Q3 net loss

German steelmaker ThyssenKrupp reported Friday a third quarter net loss of €630 million ($900 million) as the global recession cut into demand for steel.

The Duesseldorf-based company, Germany's largest steel producer, said the loss comes after a profit of €613 million in the third quarter of its 2008 fiscal year.

Sales for the period fell to €789 million from €2.5 billion a year ago, a 68 percent decline.

The company said it expects a pretax loss for the full fiscal year "in the upper three-digit million euro range" because of a significant drop in order intake and sales. It said a drop in prices and volumes will only be partly offset by falling material costs and efficiency measures.

"The overall economic environment deteriorated further in the reporting period," ThyssenKrupp said.

"The global recession is affecting our company in all areas. The worldwide slump in demand — coupled with in part hefty price falls — was particularly dramatic in our carbon and stainless steel and international materials services activities."

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