Cliffs to Take $6 Billion Writedown After Iron Ore Plunge
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Cliffs Natural Resources Inc., the largest U.S. iron-ore producer, said it expects to take a writedown of about $6 billion on its seaborne iron ore and metallurgical coal assets after commodity prices slumped.
The after-tax non-cash impairment will be taken for the third quarter, the Cleveland-based company said today in a statement. The move doesn’t affect cash flows, and its domestic iron-ore business is more stable, Cliffs said. The shares fell 8 percent to $8.74 at the close in New York.