Revenues generated from the sales of ferrous minerals accounted for 69.0% of 1Q10 operating revenues, thus returning to the levels prevailing in early 2006. Non-ferrous minerals contributed 23.9% to the revenues, logistics services 4.5%, coal 1.8% and other products 0.8%.
Sales to Asia represented 51.6% of total revenues, while sales to the Americas accounted for 25.2%, to Europe 19.8% and the rest of the world 3.3%.
Vale's operating income, as measured by adjusted EBIT, staged a significant improvement, achieving US$ 2.062 billion, thus showing a 86.9% quarter-on-quarter increase .The increase of US$ 959 million in Vale's quarterly adjusted EBIT was due to the positive impact of operating revenues, driven by price increases ( US$ 271 million), lower COGS ( US$ 456 million) and lower expenses ( US$ 232 million). Net Earnings Net earnings reached US$ 1.604 billion in 1Q10, up 5.6% compared to US$ 1.519 billion in the previous quarter. Earnings per share, on a fully diluted basis, were US$ 0.30 against US$ 0.28 in 4Q09. Simultaneously to its increase, there was an improvement in earnings quality. While in 4Q09 operating income represented 73% of net earnings, in 1Q10 it rose to 129%, as the financial result, which in a extent reflects the effect of non-cash charges, contributed to reduce net earnings by US$ 677 million. Investments In the first quarter of 2010, Vale's investments totaled US$ 2.158 billion, of which US$ 1.725 billion went to financing organic growth – US$ 1.540 billion for project development and US$ 185 million for R&D – and US$ 433 million for the support of existing operations. Investments were up 25.8% against those made in 1Q09. To watch the webcast of this conference and previous events please go to www.vale.com About Vale Vale is the world's second largest diversified mining company in market capitalization. Present in more than 30 countries, Vale is the world's largest producer of iron ore and pellets, key raw materials for the steel industry, and one of the largest producers of nickel, which is used to produce stainless steel, batteries, special alloys, chemicals and other products. The company also produces copper, manganese, ferroalloys, bauxite, alumina, aluminum and coal, among other raw materials important to the global industrial sector and present in people's daily lives. For more information, please access www.vale.com/pressoffice SOURCE Vale