NEWS ROUNDUP — Cancelled dividend hurts Redstone

Cancellation of a previously declared dividend by Falconbridge Dominica C. por A. (Falcondo), a subsidiary of Falconbridge, has resulted in decreased net earnings for Redstone Resources (TSE).

Redstone’s share of the dividend was US$481,852 which had been accrued as a receivable in Redstone’s statements for the nine months ended Sept. 30. Without this accrued dividend, Redstone’s net earnings for the nine months would have been $768,000 or 5 cents per share instead of $1,260,000 or 8 cents per share as already reported.

The cancelled dividend will be reflected in Redstone’s fourth-quarter results. Falcondo cancelled the dividend because of declining nickel prices.