- Vale (NYSE:VALE) proposes cutting dividends even more than planned, looking to pay $500M for the second tranche of its 2015 dividend, half the $1B it proposed in January.
- The company says the reduction in the second dividend installment to ~$0.10/share (as of Aug. 31) reflects "the more uncertain scenario for mineral commodities prices and the focus on managing the balance sheet."
- Vale's board of directors is set to review the proposal at an Oct. 15 meeting, and payment would take place on Oct. 30.
- Credit Suisse expects lower metal prices will lead Vale to cancel next year's dividend altogether.