Norilsk Nickel posts $555 mln net loss in 2008

Russian metals giant Norilsk Nickel posted on Monday a net loss under International Financial Reporting Standards of $555 million in 2008 against a profit of $5.3 bln a year ago.

MOSCOW, May 25 (RIA Novosti) - Russian metals giant Norilsk Nickel posted on Monday a net loss under International Financial Reporting Standards of $555 million in 2008 against a profit of $5.3 bln a year ago.

Revenue in the reporting period declined 18% in 2008 to almost $14 billion, the metals giant said.

Gross profit fell 44% to $6.4 billion, adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) decreased from $10.3 billion to $5.8 billion, and operating loss amounted to $199 million in the reporting period against an operating profit of $7.4 billion in 2007.

Norilsk Nickel's borrowings declined $1.6 billion to $6.4 billion as of December 31, 2008. The decrease was mainly due to the repayment of BNP Paribas and Sberbank loans in the amount of $2.5 billion and $612 million, respectively, and the settlement of promissory notes totaling $580 million.

At the same time, Norilsk Nickel obtained a syndicated loan from Calyon in the amount of $1.5 billion and from Deutsche Zentral-Genossenschaftsbank in the amount of $338 million.

Norilsk Nickel accounts for more than 20% of global nickel output, more than 10% of cobalt production and 3% of copper.