FROM SCRATCH NEWSWIRE

SCAVENGING THE INTERNET

PAN AMERICAN SILVER CUTS 500 JOBS (Canada)

Posted by Gilmour Poincaree on November 14, 2008

November 13, 2008 at 9:21 AM EST

The Canadian Press

VANCOUVER — Pan American Silver Corp. is cutting 500 jobs, rolling back executive salaries by 10 per Silver and gold jewels and other itemscent and reducing exploration and capital spending to deal with weaker finances and a drop in prices of silver and zinc, its key metals.

The Vancouver company said Thursday the streamlining was required to cope with weaker metals prices, a 10 per cent drop in revenues and sharply lower profits in the latest quarter.

“These are challenging times for the global mining industry,” president and CEO Geoff Burns said in a release.

“We have responded by retooling our business plans to reduce costs and adjust to the new pricing environment. We have managed our business conservatively over the past couple of years and enter this difficult period in solid financial health, with no debt and with the skills and the experience to adapt and thrive without compromising our growth.

“There are many reasons to be optimistic about future silver and gold prices. Government bailouts and debts worldwide have reached epic proportions and will, in my opinion, eventually undermine the very value of the paper currencies and the economies those same governments were charged with protecting. This should benefit gold and silver prices and Pan American Silver.”

In its financial report, Pan American said its net earnings for the third quarter ended Sept. 30 fell to $6.4-million (U.S.) or eight cents a share, from $23.9-million, or 31 cents a share for the same 2007 period.

Sales fell 10 per cent to $79.5-million, said the company, which reports its finances in U.S. dollars.

Pan American has seven operating mines in Mexico, Peru and Bolivia. An eighth mine in Argentina is scheduled to start up this month.

CLICK HERE FOR THE ORIGINAL ARTICLE

PUBLISHED BY ‘THE GLOBE AND MAIL’

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

 
%d bloggers like this: