Brazilian company Vale do Rio Doce earns half-year profits of US$2.8 billion

3 August 2006

Rio de Janeiro, Brazil, 03 Aug – The Brazilian company Vale do Rio Doce earned profits of 6.1 billion reals (US$2.8 billion) in the first half of this year, for a year-on-year increase of 19.5 percent, the company reported Thursday.

Gross revenue of 18.4 billion reals (US$8.43 billion) were accumulated during the half-year period, more than the 17.1 billion earned in the first six months of last year.

The company’s exports totaled US$4.8 billion in the first half-year, for a 46.8 percent increase over the same period in the previous year.

Brazil was the main sales destination.

China is the most important destination for Vale shipments after the Brazilian market, accounting for 18.2 percent of revenue – almost double its share of total revenue, which two years ago was 9.6 percent in the period.

Vale investments stood at US$1.9 billion in the first six months of this year, versus 1.4 billion one year beforehand.

Vale do Rio Doce is the biggest diversified mining company in the Americas. It is present in 14 Brazilian states and on the five continents, and also operates 9,000 kilometers of railways and 10 port terminals.

Vale is the world leader in the market for iron ore and iron ore pellets, and is the second biggest integrated producer of manganese and iron alloys, besides being Brazil’s biggest provider of logistics services. As the world’s biggest exporter of iron ore and iron ore pellets, it commercializes its products for iron and steel industries around the globe. (macauhub)