Business
Teck Cominco reports record net earnings of $613 million for the second quarter
Teck Cominco reports record net earnings of $613 million for the second quarter.
About this update from Teck Resources Limited Class A
[{"type":"text","content":"\n\n\n\n\nVANCOUVER, July 24 /CNW/ - Don Lindsay, President and CEO said, \"We're\nvery pleased to report record earnings of $613 million for the second quarter\nof 2006 and $1.1 billion for the first half of the year. These record\nearnings, which occurred during what are normally our two weakest quarters of\nzinc sales due to the seasonality of shipments from our Red Dog mine in\nAlaska, were driven by the excellent commodity price environment.\"\n\"Over the last twelve months to June 30, we've generated $2.0 billion of\nnet earnings during a period when copper and zinc prices averaged US$2.29 per\npound and US$0.96 per pound respectively on the LME. Current prices for metals\nhave continued to be significantly higher than those in the previous twelve\nmonths. This clearly shows the substantial future earnings potential of the\ncompany should prices remain at these levels.\"\n\n>\n\n\nManagement's Discussion and Analysis of Financial Position and Results of\nOperations\n\nThis discussion and analysis of financial condition and results of\noperations of Teck Cominco Limited is prepared as at July 24, 2006, and should\nbe read in conjunction with the unaudited consolidated financial statements of\nTeck Cominco Limited and the notes thereto for the three and six months ended\nJune 30, 2006 and with the audited consolidated financial statements of Teck\nCominco Limited and the notes thereto for the year ended December 31, 2005. In\nthis discussion, unless the context otherwise dictates, a reference to Teck\nCominco or the company refers to Teck Cominco Limited and its subsidiaries\nincluding Teck Cominco Metals Ltd. and a reference to Teck Cominco Metals\nrefers to Teck Cominco Metals Ltd. and its subsidiaries. Additional\ninformation relating to the company, including the company's annual\ninformation form, is available on SEDAR at www.sedar.com.\nThis discussion and analysis contains forward-looking statements. Please\nrefer to the cautionary language on page 16.\n\nEarnings\n\nUnaudited net earnings in the second quarter were $613 million or $2.95\nper share, up significantly from net earnings of $225 million or $1.11 per\nshare in the second quarter of 2005.\nThe significantly higher earnings in the second quarter were a result of\nhigher prices for the company's products. Average LME cash prices for copper\nand zinc were US$3...