Vallourec slips into net loss, to cut 1,400 jobs
PARIS Feb 24 (Reuters) - French steel pipe maker Vallourec unveiled a plan to cut 1,400 jobs in 2015 on Tuesday as a drop in demand from oil company customers following the plunge in crude prices tipped the group into a full-year net loss in 2014.
Vallourec, which had flagged in January a 1.1 billion euro ($1.25 billion) write-down on European and Brazilian assets, said it expected to cut costs by 350 million euros in 2015-2016 and slash annual investments to 350 million euros from 450 million euros.
The group is also targetting a positive free cash flow in 2015, after 274 million euros in 2014, it said in a statement.
In 2014, the group swung to a net loss of 924 million euros, compared to a profit of 262 million euros the year before, on sales of 5.7 billion euros, up 2.2 percent.
Vallourec plans to pay a dividend of 0.81 euros per share in 2014. ($1 = 0.8825 euros) (Reporting by Benjamin Mallet, writing by Michel Rose, editing by Leigh Thomas)
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