Eurasian Natural Resources Corporation has today announced that, taking into account the effect of one-off step-up gains and impairments, the effective-tax-rate (ETR) for the Group, for 2012, is expected to be around 45%.
The rate is above the previously guided level of 37% to 39%, mainly due to the write-off of the deferred tax asset by Aluminium of Kazakhstan ('AoK'), higher than expected expenditure on asset development and resulting unrecognised tax losses and, because of the adverse changes in commodity prices and market conditions, to which the ETR remains sensitive.
The Group has also announced that it is currently in the process of completing its annual impairment review. The Group expects to recognise non-cash impairment charges primarily for its alumina business in Kazakhstan (AoK), Boss Mining and Chambishi and in respect of its interests in quoted equity shares (primarily Northam Platinum Limited).
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The market will be notified of the final amounts - which are likely to be significant - ahead of the Group's preliminary results for the year end December 31st 2012, which will be released on the next March 20th.
As of 13:13 shares of ENRC are down by 3.87% to the 342.4p mark.
AB
-
Side hustle tax changes: HMRC reforms could save thousands from filing self-assessment tax returnsThe government plans to raise the tax-free threshold for trading income – here is how it could help your side hustle
-
Return to the office: is working from home coming to an end?More and more employers want their staff to return to the office. Is it a good idea?
