Takeover costs reduce earnings of Falconbridge

Noranda Inc. (TSE) and Swedish firm Trelleborg AB teamed to buy all of the outstanding shares of Falconbridge, paying $37 per share. The companies, equal partners in the venture, outbid Amax Inc. of New York.

Accounting for the takeover expenses and costs as extraordinary items, Falconbridge recorded third-quarter earnings of $55 million (80 cents per share). Before extraordinary items, the company reported earnings of $92 million ($1.34 per share), compared with $87 million ($1.19 per share) for the same period in 1988.

For the first nine months of 1988, the company reported, after extraordinary items, earnings of $314 million ($4.70 per share). Before extraordinary items, earnings were $351 million ($5.26 per share), compared with $217 million ($2.80 per share) for the same 9-month period in 1988.

Third-quarter revenues totalled $579 million, compared with $525 million for the same period in 1988. Revenues for the first nine months totalled $1.9 billion, compared with $1.5 billion last year.

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