Subsequent to the impairment review undertaken by Nyrstar (announced on 22 January) and in line with International Financial Reporting Standards (IFRS) Umicore will reduce the book value of its 5.25% stake in Nyrstar to reflect the closing share price of Nyrstar on 31 December 2008 (EUR 2.19). This will generate a non-recurring, noncash charge of EUR 68.1 million in the 2008 income statement which will be presented for approval by the Board of Directors on 11 February 2009.
IFRS require that the year-end share price of Nyrstar be used as the benchmark for the impairment in Umicore's books. Nyrstar's own detailed impairment review, which is based on expected future cash flows of the company, values Nyrstar at a significantly higher level. Umicore is not considering the sale of its stake in Nyrstar at the current share price levels.
IFRS require that the year-end share price of Nyrstar be used as the benchmark for the impairment in Umicore's books. Nyrstar's own detailed impairment review, which is based on expected future cash flows of the company, values Nyrstar at a significantly higher level. Umicore is not considering the sale of its stake in Nyrstar at the current share price levels.
