“RUSAL” because of low aluminum prices had a $124 million loss in the first half. EBITDA declined by more than doubled to $219 million Results, “RUSAL” increase the need of the company to obtain dividends from the package in “Norilsk Nickel” and thus exacerbate the conflict with a major shareholder “Norilsk Nickel” and “Interros” Vladimir Potanin. Interros August 12, said that aluminum company has been unable to create a sustainable business model that would be competitive on the world market, and to get off “dividend of a needle”.”RUSAL” at the end of six months reported a decrease in EBITDA to $219 million from $528 million and total revenues to $4 billion from $4.7 billion in the same period of 2019, according to the IFRS. The reason for this is the fall in the price of aluminium on the LME by 12.8%, to $1.5 thousand per ton from $1.8 thousand a year earlier. However, net profit $625 million in the first half of 2019 was replaced by a net loss of $124 million, the General Director of “RUSAL” Yevgeny Nikitin said that the industry is slowly recovering from the pandemic coronavirus. According to him, the company has the experience and also the growing requirements for environmental protection that require appropriate responses. “Consumers and the investment community expect from the industry decisive steps to confront us threats. The need to reduce emissions will be a priority and at the end of the pandemic,” he said.Market conditions for RUSAL continues to remain weak. According to JP Morgan Global Manufacturing PMI, business activity in industrial sector in the world continues to shrink, albeit at a slower pace than in the first half. In the first half of 2020 global demand for primary aluminium fell by 6.6% in annual terms — up to 30.3 million tonnes.In addition, on the world market there is an overabundance of aluminum in the amount of 1.8 million tons, which also affects prices.Poor financial results, “RUSAL” play into the hands of Vladimir Potanin, who sees no need to renegotiate the shareholder agreement for the management of “Norilsk Nickel”. “Interros” Vladimir Potanin owns about 34% of the shares of Norilsk Nickel, “RUSAL”, founded by Oleg Deripaska, 27.8% and, Crispian Roman Abramovich and Alexander Abramov was 4.2%.”Interros” August 12, said that the financial performance of “RUSAL” not given “reason for optimism”. Over the past five years the company’s operating expenses increased by 30% and EBITDA fell in half, to $1 billion, “Without dividends “Norilsk Nickel” cash flow “RUSAL” from your own business does not cover its costs. Contrary to its statements, “RUSAL” does not invest received from Norilsk Nickel dividends to the Russian economy, and their significant part is spent on payments to banks for loans,”— said in a statement “Interros”. There are also casesayut conclusion that “RUSAL” uses the situation of the oil spill near Norilsk to sign a new shareholder agreement in Norilsk Nickel.Eugene Zainullin
