the inevitable downgrade, page-2

DJ MARKET TALK: Confidence In Newcrest May Take Hit On Production Guidance

2318 GMT [Dow Jones] Market confidence in Newcrest (NCM.AU) may take a hit after
the gold producer again cut its full-year output guidance following a series of
underperforming quarters. The shares last traded at A$27.60, but dipped ahead of the
latest production report as some analysts penciled in a troubled quarter and reduced
production forecast. Commonwealth Bank earlier said an expected downgrade would hurt
confidence, but doesn't destroy value as key projects are set to transform the
company over the next two years. Newcrest in its report says production from its existing
assets is expected to grow at an average 5%-10% a year over the next five years.