The pain doesn’t stop for Anglo American.
Yesterday the company announced a “radical” programme of changes designed to try and protect the company from the worst affects of the crash that has seen commodity prices fall to their lowest levels in 16 years.
Amongst the changes announced was the cutting of around 85,000 of the company’s 150,00o staff, nearly two thirds of all employees.
Obviously investors weren’t exactly thrilled by this news, and the company’s shares got crushed yesterday, falling by more than 10%.
Things haven’t gotten any better on Wednesday though, and if anything they have gotten worse. As of 09:55 GMT (04:55 ET) Anglo’s shares are down by around £0.32 ($0.48), roughly 10% of the stock’s value. Shares jumped by roughly 2.7% at the market open, but quickly started plunging, and dropped by more than 13% at one point, before recovering a little.
The fall compounds yesterday’s losses and means that since June this year, Anglo American’s shares have lost more than 72% of their value, and more than 91% since their post-financial crisis peak of more than £33 ($49.60) in February 2011. This is how Anglo’s shares have performed since summer 2015:
Anglo is not the only commodity company struggling again this morning. Glencore, Antofagasta, and BHP Billiton are all down again today, having seen share price falls in excess of 5% on Tuesday.