BUSINESS MAVERICK: Gold strike, lay-off costs leave Sibanye earnings in the red

The Association of Mineworkers and Construction Union’s strike at Sibanye-Stillwater’s gold mines was a complete flop. It rolled on for five months, and its members achieved nothing after the union was forced to sign the same wage agreement that rivals had accepted. At least nine people were killed in violence related to the strike.

Sibanye’s earnings were also hurt by R397-million in costs related to retrenchments at its gold operations. Accounting procedures took a further toll, with a fair value loss of R533-million on US dollar-denominated convertible bonds, an adjustment linked to its rising share price. The company sees a better second half, underpinned by rising gold and PGM prices and provided Amcu does not embark on a wage strike at the company’s platinum operations. Synergies from the Lonmin merger should also begin flowing to Sibanye’s bottom line.

South Africa South Africa Latest News, South Africa South Africa Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Business Maverick: Apple to Start Online Sales in India After Country Eases RulesApple Inc. is poised to start online sales of its devices in India within months, a person familiar with the matter said, benefiting from new rules making the world’s fastest-growing smartphone market more attractive to foreign brands.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: Distell’s African cylinders are firingFor years Shoprite’s Africa operations were the envy of South African business executives following the retailer’s slow and measured investment across the continent. However, as former Shoprite CEO Whitey Basson was fond of saying, Africa is not for sissies as the Africa promise proved slow to materialise. Many SA firms, including Shoprite, Tiger Brands, Woolworths, Consolidated Investment Ltd, suffered as volatile currencies and economies (and questionable investments), retarded their expectations. At first glance, it seemed liquor company Distell was to meet the same fate, but a closer look suggests the opposite is the case.
Source: dailymaverick - 🏆 3. / 84 Read more »

Tower Property Fund’s distributable earnings fall on higher costsCompany faced with lower rental hikes, higher costs and foreign exchange losses
Source: BDliveSA - 🏆 12. / 63 Read more »