Newcrest Mining Limited
(ASX:NCM) plans to slash capex after announcing a $5.78 billion full year loss.
The gold miner says the slump comes on the back of a severe fall in the gold price as well as $6.23 billion in write downs.
Underlying profit fell to $451 million in the full year, down from $1.084 billion a year earlier.
The $6.23 billion in write downs included impairments, asset write downs, $273 million write down of its investment in Evolution Mining Limited
(ASX:EVN) as well as restructuring costs of $51 million.
Newcrest intends to cut its capex to about $1 billion, slashed from the $1.95 billion spent in fiscal 2013.
The company expects to be free cash flow positive this year as a gold price of $1,450 per ounce and will strive to fund all expenses from its operating cash flow.
Newcrest will not pay shareholders a final dividend.
