Lower zinc prices cut into Brunswick earnings

Despite record zinc recoveries from Brunswick Mining and Smelting (TSE) No. 12 mine near Bathurst, N.B., lower zinc prices have slashed the company’s first quarter earnings by 60% from last year’s figure. Brunswick’s first-quarter net earnings were $7.3 million (19 cents per share), compared with $18.3 million (51 cents per share) in the same period of 1989.

Zinc prices were down to an average of US$1,450 per tonne from record high levels of more than US$1,600 at the beginning of 1989.

A 3-week shutdown of Brunswick’s smelter, which in turn forced the closure of the fertilizer plant, also had a negative impact on earnings results.006 0508,0206,0304,0008 Brunswick Mining and Smelting (TSE) $000s except per-share items* Quarter ended Mar. 31 1990 1989 Revenue $89,316 $105,901 Net earnings (loss) 7,262 18,261

per share 0.19 0.51 *US dollars004


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