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    China Daily Website

    MCC reports $1.16b losses in 2012

    Updated: 2013-01-31 19:54
    ( chinadaily.com.cn)

    China Metallurgical Group Corp said on Jan 31 that it was expected to report 7.2 billion yuan ($1.16 billion) losses in 2012.

    MCC said in a report it had 6.9 billion yuan in the bad debt provision for its subsidiary MCC Huludao Nonferrous Metals Group Co. This led to 3.9 billion losses in MCC's 2012 profits.

    Apart from the bad debt provision, the losses were also blamed to a rising cost of MCC's iron ore project in Australia, which was 3.1 billion yuan more than expected, and resulted in a decline in the company's net profits.

    In addition, MCC said, another of its subsidiary, Luoyang China Silicon Corp, also reported large losses because of depression of the polysilicon market, but it didn't reveal the exact number.

    MCC's share price in the A-share market fell 1.35 percent on the release of the losses, extending its accumulated decline in the past year to 17.16 percent.

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