Voestalpine’s experience in the USA has been rather disappointing. Costs of the Texan direct iron ore reduction plant were considerably higher (more than €900m instead of €550m) and the ramp-up took longer than initially expected. Management now blames ramp-up difficulties at an automotive component plant in Georgia, resulting in a new profit warning. Finally, the company has been regularly raided by cartel authorities (tracks in the past and now heavy plates) in recent years
17 Jan 2019
Second profit warning within three months
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Second profit warning within three months
voestalpine AG (VOE:WBO) | 0 0 0.0% | Mkt Cap: 8,355m
- Published:
17 Jan 2019 -
Author:
Hans-Peter Wodniok -
Pages:
2
Voestalpine’s experience in the USA has been rather disappointing. Costs of the Texan direct iron ore reduction plant were considerably higher (more than €900m instead of €550m) and the ramp-up took longer than initially expected. Management now blames ramp-up difficulties at an automotive component plant in Georgia, resulting in a new profit warning. Finally, the company has been regularly raided by cartel authorities (tracks in the past and now heavy plates) in recent years