Commodities trader Glencore Xstrata has reported a 39% drop in half-year profits as it booked a $7.6bn (£4.8bn) writedown of assets following the merger of Glencore and Xstrata this year.
The Swiss-based company, which supplies raw materials around the world and operates mines, plants and warehouses, said its net income slid to $2.04bn from $3.36bn a year earlier.
Glencore Xstrata said in its financial statement on Tuesday that the writedown reflected "the broader negative mining industry environment" during the January-to-June period.
The merger of Glencore and Xstrata created a company that controls a chain of businesses from mining to refining, storage and shipping of basic commodities like coal, copper and corn.
Glencore's chief executive, Ivan Glasenberg, said progress in integrating Xstrata has exceeded the group's expectations and that achievable synergies and cost savings "will be materially in excess" of previous guidance of $500m a year.
