PotashCorp Reduces Quarterly Dividend 34 Percent

In its recently released Q4 and year-end results, PotashCorp of Saskatchewan (TSX:POT,NYSE:POT) announced that it has reduced its quarterly dividend by 34 percent to $0.25 per share.
As quoted in the press release, highlights included:

• Fourth-quarter earnings of $0.24 per share¹; full-year total of $1.52 per share
• Annual cash provided by operating activities of $2.3 billion
• Indefinite suspension of Picadilly, New Brunswick potash operation in January 2016
• Quarterly dividend reduced by 34 percent to $0.25 per share
• Full-year 2016 guidance of $0.90-$1.20 per share; $0.10-$0.20 for the first quarter

PotashCorp President and CEO Jochen Tilk said:

Weaker fertilizer prices late in the year reduced our earnings for the quarter, giving rise to a more cautious outlook for all three nutrients as we begin 2016.
We made the very difficult decisions to suspend potash production in New Brunswick and realign our dividend. These actions are part of our thoughtful and holistic approach to strategically position the company and balance the interests of our shareholders, debtholders, employees and communities who depend on our enduring success. Longer term, we maintain our conviction that the drivers of fertilizer demand – rising global crop production and supportive farmer economics – will support improved market conditions.

Click here for the full press release.