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CLEVELAND (Business Wire) -- Cliffs Natural Resources Inc. (NYSE: CLF) (Paris: CLF) today
reported fourth-quarter and full-year results for the periods ended Dec.
31, 2009. Full-year revenues of $2.34 billion decreased 35% from the
previous year. The decrease was attributed to lower year-over-year
demand and pricing for steelmaking raw materials due to the global
economic crisis and recessionary environment in some of the Company's
markets. Net income attributable to Cliffs shareholders for the year was
$205.1 million, or $1.63 per diluted share, compared with $515.8
million, or $4.76 per diluted share, in 2008. The Company ended the year
with $503 million in cash and equivalents.




Joseph A. Carrabba, Cliffs' chairman, president and chief executive
officer, said, "Despite an extremely challenging environment through
most of 2009, Cliffs achieved strong financial and strategic
performances, delivering respectable earnings and ending the year in a
position of strength. This was the result of exceptional execution by
our management team, whose experience and professionalism allowed them
to recognize 2009's challenges and opportunities  and act to position
the Company to benefit from each."




Other 2009 Highlights




In 2009, Cliffs completed a number of significant corporate development
and operational achievements, each implemented to advance its strategy
of achieving scale in the mining industry and exposure to the world's
largest and fastest growing steel markets. These included:



Successfully managing each of its businesses to match production with
the demands of a dynamic and changing market environment,
characterized by extremes;


A year of record volume in Asia Pacific Iron Ore and the repositioning
of this business under the Cliffs Natural Resources corporate name and
identity;


The recent addition of Cliffs to Standard & Poor's S&P 500 Index;


Reaching an agreement to acquire the remaining 73% interest in Wabush
Mines;


A successful bid to acquire Freewest Resources (TSX-V: FWR) and its
anticipated world-class chromite deposits in Ontario, Canada;


Publishing the Company's first Sustainable Development Report under
the internationally recognized Global Reporting Initiative framework;


A successful equity offering of 17.25 million Cliffs Natural Resources
shares, resulting in $347 million of net proceeds;




Establishing the Cliffs Natural Resources Global Exploration Group
(GEG), a small team of professional geologists with the mandate to
form partnerships with junior mining and exploration companies with
prospects for commercially viable projects; and


The April 2009 listing of Cliffs Natural Resources on the Professional
Compartment of NYSE Euronext Paris.





Fourth-Quarter Consolidated Results




Consolidated fourth-quarter revenues were $820.5 million, a decrease of
10% compared with $916.3 million in the same quarter last year. The
decrease for the quarter was driven primarily by lower year-over-year
pricing in each of the Company's businesses, somewhat offset by higher
sales volumes in Cliffs' Asia Pacific businesses.




In the fourth quarter, Cliffs' sales margin declined 39% to $175.0
million, from $285.9 million in the same period of 2008. This decrease
was also primarily the result of lower year-over-year pricing, offset
partially by strong cost-control efforts, in each of the Company's
business segments.




Consolidated operating income for the fourth quarter increased 6% to
$155.6 million, from $147.3 million in the 2008 fourth quarter. Cliffs
indicated its 2009 fourth-quarter operating income benefited from an
$11.7 million gain on the sale of a non-core asset in Australia, while
2008 fourth-quarter operating income was negatively impacted by $90.1
million in costs related to a terminated merger agreement. Selling,
general and administrative (SG&A) expenses declined 26% to $37.1 million
during the quarter, reflecting lower year-over-year variable
compensation, management salary reductions and other cost-reduction
initiatives.




Fourth-quarter 2009 net income increased 101% to $108.2 million, or
$0.82 per diluted share, from $53.9 million, or $0.47 per diluted share,
in 2008. Cliffs noted that fourth-quarter 2009 net income was impacted
by the $11.7 million pre-tax gain referenced above.




Cliffs also said its fourth-quarter 2008 net income included
approximately $209.1 million pre-tax, or $1.43 per diluted share, of
non-recurring items, including:



The $90.1 million pre-tax impact from terminated merger costs,
referenced above;


$93.9 million pre-tax of negative mark-to-market adjustments related
to currency hedging; and,


$25.1 million pre-tax related to the impairment of investment
securities in two junior mining and exploration companies.





As a result of these items, fourth-quarter 2008 also included an income
tax benefit of $29.4 million, compared with an income tax expense of
$35.4 million in 2009.

The above is just the main highlights, there is much more to this report, to large to Post here.

........RL.