Steel maker NLMK posts losses in Q4
MOSCOW. April 1 (Interfax) - Vladimir Lisin's Novolipetsk Steel (NLMK) closed the fourth quarter of 2009 with net losses of 4.015 billion rubles to Russian Accounting Standards (RAS), compared with profit of 9.57 billion rubles in Q3 2009, the steel major said in a statement.
The net loss was driven by an increase in valuation reserves by 11.96 billion rubles, while operating profit grew 2.246 billion rubles. Valuation reserves grew because provisions were created for the impairment of financial investments in NLMK International B.V. and OJSC Maxi Group in Q4 2009.
NLMK had net losses of 3.32 billion rubles in Q4 2008, caused by falling sales, prices and demand for steel due to the global financial crisis.