This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Profits Drop For Mining Company Eyed For Takeover


HELENA, Mont. (AP) â¿¿ A Montana precious metals mining company targeted for takeover by a group that includes former Gov. Brian Schweitzer reported Wednesday that its profits dropped almost 62 percent in 2012.

Stillwater Mining Co.'s year-end results showed the company had $55 million in net income, down from $144 million in 2011. Revenues for the Billings-based platinum and palladium miner fell 12 percent, to $800 million, as prices for the metals dropped through much of last year.

Schweitzer and a New York-based hedge fund, the Clinton Group, announced this week their intentions to oust Stillwater's board. They want to seat a new slate of directors, including the former governor, who's been mentioned by pundits as a possible candidate for the 2016 Democratic presidential nomination.

The former governor criticized the company's pursuit of a copper mine in Argentina and a copper and palladium project in Canada, and called for an overhaul of company management.

But Stillwater Chairman and Chief Executive Officer Frank McAllister said during a Wednesday conference call with investors and analysts that the company's primary focus remains on its Montana operations â¿¿ two mines in southern Montana's Beartooth Mountains and a metals recycling plant.

The metals are sold primarily for use in catalytic converters used to reduce automobile pollution.

McAllister said growing auto industry demand means platinum and palladium prices are poised to increase, boosting the company's future prospects.

"We're excited about where we are positioned. The palladium market's outlook and growth are very, very good," McAllister said.

Stillwater shares on the New York Stock Exchange rose 50 cents, or more than 2 percent, to $13.38 through late Wednesday trading.

The company employs more than 1,500 people â¿¿ more than any other mining company in Montana â¿¿ and is seeking to boost production during the next several years with expansions underway at its mines in the Beartooths.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 17,888.35 +168.43 0.95%
S&P 500 2,102.63 +22.22 1.07%
NASDAQ 5,156.3060 +47.64 0.93%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs