Newcrest goes vanilla
After racking up close to A$1 billion in mark-to-market hedging losses last year, Newcrest Mining’s group treasurer, Steven Donegan, has been working to restructure the company’s hedge book. Roger Hogan reports
Newcrest Mining, Australia’s biggest locally owned gold miner, shocked investors last year when it reporteda A$53 million (US$36 million) loss compared with a A$38.2 million profit forthe previous period. The red ink flowed from provisions for surplus hedge positions,and from a restructuring of its loss-making hedge book.
Things are different now. Following a change of senior personnel between
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