Cleveland Cliffs reports a net loss of $108 million in quarter two
Cliffs says this loss can be attributed to the sudden shutdown of the automotive industry due to COVID-19.
MARQUETTE, Mich. (WLUC) - Cleveland Cliffs is reporting a net loss of $108 Million during quarter two of 2020.
These results were shared during a conference call this morning. Cliffs says this loss can be attributed to the sudden shutdown of the automotive industry due to COVID-19. This impacts Cliffs, as more than 60 percent of production and sales are dedicated to the automotive industry.
“Second quarter results were a direct consequence of the almost complete and sudden shutdown of the entire automotive sector, interrupting our revenues and generating costs,” said Lourenco Goncalves, Chairman, President and CEO of Cleveland Cliffs.
Cliffs remains hopeful for the future, with much of the industry heading back to work.
“With our customers in the automotive sector back to more normal levels of activity, we have resumed production at all of our facilities that were temporarily idled, except the Northshore Mine, which will be back in operation next week,” added Goncalves.
Work continues with construction of a Hot Briquetted Iron plant in Toledo, Ohio. That plant is expected to be in production later this year.
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