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Johannesburg - Impala Platinum Holdings [JSE:IMP] (Implats)
said on Thursday its headline earnings for the 2012 financial year fell 38%
after its production was knocked by a violent strike at its Rustenburg
operations earlier this year.
The world’s second largest platinum producer’s headline
earnings per share for the financial year dropped to 685 cents from 1,105
cents, near the upper end of the 645 to 695-cent range the group had flagged in
advance to the market.
Full year production came in 21% lower at 1.45 million
ounces with 120,000 ounces lost during a violent and illegal six-week stoppage
at its flagship Lease Area operations near Rustenburg.
Characterised by violence and intimidation, the strike
claimed three lives and was triggered by trade union rivalry as the National
Union of Mineworkers and the Association of Mineworkers and Construction Union
battle it out for members.
Newly instated chief executive Terence Goodlace warned the
changing workforce dynamics “pose a significant risk to the industry”.
Implats, which makes up almost 30% of global platinum production, reduced its dividend to 60 cents from 570 cents a share as it moves to protect its capital in an industry downturn where at least half of all platinum mines are said to be struggling to break even.
Implats said it would suspend operation on Thursday to mourn the deaths of those killed at rival Lonmin's mine in Marikana, Rustenburg.
“The Board and management team extend their sincere condolences to the families‚ friends and colleagues of those who died. We condemn violence in the strongest terms and firmly believe that the issues facing the industry today can only be resolved in an environment of peace‚ stability and order. Implats is actively and collaboratively engaged in dialogue at the highest levels to create a sustainable long-term future for the industry for the benefit of all stakeholders‚” the company said.
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