The week starts as badly as it could not for the Saipem share, which after some difficulties in opening is admitted to trading and collapses by about 23 points, to 15,5 euros. The sell-off was triggered after the plant engineering company announced on Friday, with markets closed, that it had heavily revised its estimates for 2013 downwards. Eni (43% shareholder of Saipem) also slipped, which in the same minutes recorded a decrease of more than 3%.
Il profit warning last week is the second in six months. Saipem has cut its estimates of EBIT and net result for 2013, due to the radical deterioration of the commercial position of the group in Algeria and a series of criticalities on two contracts in Mexico and Canada. The EBIT estimate has been revised downwards to between 650 and 750 million, of which around 50% relates to activities in Algeria. The net result is expected to be a loss of between 300 and 350 million.
