Reuters reported Vale SA (SAO:VALE5) will sell its underperforming assets in an effort to control costs and boost profit.
As quoted in the market news:
Vale SA plans to sell underperforming assets to control costs and boost profit, executives said on Thursday, a day after reporting weak earnings and halting work on a giant iron ore mine in the West African nation of Guinea.
Vale’s annual investment in new projects will likely peak this year at $21 billion, Chief Financial Officer Luciano Siani said on a conference call with analysts. As the world economy slows, a 10-year boom driven by China’s hunger for raw materials may be over, he said.