Anglo American Cuts 85,000 Jobs

Forbes reported that Anglo American (LSE:AAL) is cutting 85,000 jobs as 35 of its mines will be closed or sold. Shares of the miner were down 11 percent on the news.
As quoted in the publication:

The cuts will reduce a company that once ranked as the world’s biggest miner to less than half its current size with 35 mines being sold or closed, leaving it with just 20 operating assets.
The London-based miner, with deep roots in its homeland of South Africa, has been forced to butcher itself after years of heavy losses from under-performing mines that have left it a poor relation to the sector leaders, BHP Billiton and Rio Tinto.
Investors, who had been expecting major changes at Anglo American, were stunned by the cuts, slicing another 12% of the stock which had already lost 65% of its value over the course of 2015.

Anglo American CEO, Mark Cutifani, said in a statement:

Together with the additional material capital, cost saving and productivity measures announced today, we are setting out an accelerated and more aggressive strategic restructuring of the portfolio to focus it around our ‘Priority 1’ assets, being those assets that are best placed to deliver free cash flow through the cycle and that constitute the core long term value proposition of Anglo American. While we have continued to deliver our business restructuring and performance objectives across the board, the severity of commodity price deterioration requires bolder action. We will set out the detail of the future portfolio in February, with the aim of delivering a resilient Anglo American and a step change in the transformation of the Company.