ADVFN - Advanced Financial Network.
HOME» NYSE » C » RIO Stock Price » RIO Stock News

Companhia Vale Share News

 Companhia Vale Do Rio Doce Stock Price
RIO Stock Price
 Companhia Vale Do Rio Doce Stock Chart
RIO Stock Chart
 Companhia Vale Do Rio Doce Stock News
RIO Stock News
 Companhia Vale Do Rio Doce Company Information
RIO Company Information
 Companhia Vale Do Rio Doce Stock Trades
RIO Stock Trades

Rio to Cut Australia Jobs, Shut Office to Trim Costs

-- Rio to shrink size of Melbourne headquarters, close Sydney office -- Some jobs to be transferred to Brisbane and Melbourne -- Move reflects cost-cutting drive across Australian operations SYDNEY--Rio Tinto PLC (RIO) is cutting some jobs at its regional headquarters in Melbourne and will close an office in Sydney as the Anglo-Australian mining giant moves to contain costs amid falling prices for key commodities such as iron ore, two people familiar with the matter said Tuesday. The restructuring is the latest sign that Australia's mining boom is running out of steam as China's economy slows and Europe struggles to resolve its debt crisis, with resources companies adopting an increasingly cautious approach to the timing of any recovery in demand and commodity prices. That approach has seen BHP Billiton Ltd. (BHP) shut a coal mine in Queensland state and Rio Tinto put another under review. David Peever, Rio's managing director for Australia, recently told staff in internal emails that some roles in Melbourne will be cut while other workers will be transferred to offices in Perth and Brisbane, one of the people said. Melbourne will remain a corporate head office for Rio Tinto, but is to be scaled back, the person said. An office in Sydney where about 30 people work will be closed, and Rio Tinto intends to use leased serviced offices when it needs a presence in the city in future, the person said. Mining companies are being forced to review their expansion plans and tackle rising operating costs as commodity prices have continued to weaken amid concerns over demand from key consumers such as China. Companies operating in Australia have also struggled with the strength of the local currency against the dollar, the currency in which they operate. BHP Billiton, which has its headquarters in Melbourne, is also focusing on reducing overhead expenses and operating costs, and currently is reviewing contractor and staff numbers across its operations globally, a spokeswoman for the company said. BHP is expected to decide at the end of the year whether to proceed with three US$10 billion-plus expansion projects in Australia and Canada. Shareholders and analysts widely expect at least one project will be deferred. Major mining companies including BHP and Rio Tinto are forecast to report a drop in earnings this year as weaker prices eat into cash flow and are only partially offset by increases in some raw materials, such as iron ore from Western Australia state. Rio Tinto's underlying earnings before one-time items are expected to have dropped to US$4.94 billion for the six months through June from a record US$7.78 billion a year earlier, according to a consensus of 20 analysts' forecasts compiled by the company. Rio Tinto Chief Executive Tom Albanese earlier this month said that global economic conditions and sentiment had dropped markedly in the second quarter of the year, and the company was keeping a close eye on the pace of the U.S. recovery, the ongoing eurozone crisis and efforts to stimulate the Chinese economy. Less than two weeks ago, Rio Tinto said it expects to cut jobs at its Clermont coal mine in Queensland as part of a review triggered by prices of thermal coal, used as a fuel in power stations, slumping to their lowest level in nearly two years. -Write to David Winning at david.winning@wsj.com and Robb M. Stewart at robb.stewart@wsj.com Subscribe to WSJ: http://online.wsj.com?mod=djnwires

Stock News for Companhia Vale (RIO)
DateTimeHeadline
07/24/201419:51:34BHP Buyback on the Cards, Says JP Morgan -- Market Talk
07/24/201406:11:21LONDON MARKETS: Kingfisher Leads Losers In London After Trading...
07/24/201406:09:27LONDON MARKETS: Kingfisher Leads Losses In London After Trading...
07/24/201406:09:24LONDON MARKETS: Kingfisher Leads Losses London After Trading...
07/24/201406:09:24LONDON MARKETS: Kingfisher Leads Loses London After Trading Update
07/23/201412:17:37LONDON MARKETS: Glaxo Slides In London After Earnings Warning
07/23/201410:16:22LONDON MARKETS: Glaxo Shares Fall In London After Earnings Warning
07/23/201407:34:21LONDON MARKETS: U.K. Stocks Edge Up After BOE Minutes; BHP Advances
07/17/201406:17:43ASIA MARKETS: Australian Stocks Reach Six-year High
07/17/201402:29:09ASIA MARKETS: Asian Stocks Rise; Australia Hits Six-year High
07/17/201401:46:24EUROPE MARKETS: European Stocks Jump After Strong U.K., Chinese...
07/16/201418:13:56EUROPE MARKETS: European Stocks Climb After Strong U.K., Chinese...
07/16/201403:53:58EUROPE MARKETS: Chinese Growth Data Boost European Resource Stocks
07/11/201407:39:29EUROPE MARKETS: European Stock Markets Climb After Five-day Selloff
07/11/201405:15:08EUROPE MARKETS: European Stock Markets Rebound After Five-day...
07/10/201412:09:09EUROPE MARKETS: European Stocks Stumble To 2-month Low On Portugal...
07/10/201407:51:32EUROPE MARKETS: European Stocks Stumble To Two-month Low On Portugal...
07/10/201407:09:08EUROPE MARKETS: European Stocks Stumble To Two-month Low
07/10/201405:39:40EUROPE MARKETS: European Stocks At Two-month Low After Weak Data
07/10/201405:06:47EUROPE MARKETS: European Stocks Slide For Fifth Straight Day

Companhia Vale and other New York Stock Exchange stock quotes are delayed by at least 20 minutes.
All other stock price data is delayed by at least 15 minutes unless otherwise stated.
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions
Contact Us | Copyright 1999-2007 ADVFN PLC. | Privacy Policy | Investment Warning | Data accreditations | Investor Relations

ADVFNADVFN ItalyADVFN GermanyADVFN FranceADVFN BrazilADVFN JapanADVFN UKADVFN US noad