Terra Industries 3Q Earnings Plummet 72 Pct

SIOUX CITY, Iowa (AP) — Fertilizer company Terra Industries Inc. on Thursday said its third-quarter earnings plunged 72 percent as the economic downturn continued to push down sales prices and demand.

Results matched Terra's outlook, provided Monday, when the company prepared investors for its dismal results.

Margins were helped somewhat by cheaper natural gas costs, but for the most part, pricing pressure and crippled agricultural and industrial demand overshadowed any gains the company saw in the most recent quarter.

Quarterly earnings fell to $45.9 million, or 46 cents per share, compared with $164.9 million, or $1.64 per share during the same period last year.

Analysts polled by Thomson Reuters estimated a profit of 52 cents per share, on average.

Revenue fell 56 percent to $347.1 million, down from $790.2 million in the prior-year period. Analysts forecast an average revenue of $355.70.

Separately, Terra sent a letter to its shareholders urging them to reject an ongoing takeover bid by CF Industries.