ArcelorMittal Lowers Earnings Estimate for FY 2015

ArcelorMittal reported a $700 million loss for third quarter which it blamed on falling prices and dumping of steel by China. Third quarter EBITDA was $1.35 billion.

“Operating conditions have deteriorated in recent months, both in terms of the international steel price environment which has been driven by unsustainably low export prices from China and order volumes as customers adopt a “wait and see” mind-set,” said ArcelorMittal in its earnings report. As a result FY 2015 estimated earnings were lowered to $5.2 billion to $5.4 billion from the previous projection of $6 billion to $7 billion. Positive cash flow generation is expected in 2015 with net debt below $15.8 billion.