Ivaco shares tumble
Thursday, May 15, 2003
95 cents, down 31 cents
The Montreal-based steel maker's stock tumbled almost 25 per cent yesterday, on volume of almost 250,000 shares, after it reported a sharp reversal in its first-quarter financial results and suspended its preferred share dividends. The company posted a first-quarter loss of $1.35-million or 13 cents a share, compared with a year-earlier profit of $2.8-million or 4 cents. The company announced "aggressive" measures to cut costs and conserve cash, including the suspension of dividend payments on the company's preferred shares and second preferred shares. The next payments were due July 1. The company added that it won't be in a position to redeem any of these preferred shares, nor will it be able to buy back any of the class A subordinate voting shares, as long as the dividends are suspended. |
