Cliffs Natural Resources released a statement saying it will reduce production at all six of its North American iron ore mines by more than 35%. The company says the cutback is in response to a dramatic drop in customer orders, and that it doesn't want to tie up its capital in product it can't sell. The statement says Cliffs will continue to monitor the marketplace, and adjust production plans as needed. It also says Cliffs will lay off an undisclosed number of coal miners at its West Virginia site that produces coal for firing steel blast furnaces.
Meanwhile, developer Forest City Enterprises announced it's suspending quarterly dividends to owners of its common stock.
Jeff Linton is a spokesperson for Forest City.
Jeff Linton: "The suspension is a decision the board made in order to perserve liquidity in the current market environment. Liquidity is really our highest priority and this was simply the right thing to do from management and the boards' perspective."
The suspension begins after next week's scheduled dividend payment.
