Tronox Limited reported third quarter 2013 revenue of $491 million, up 1 percent versus $487 million in the third quarter 2012 and down 6 percent versus $525 million in the second quarter 2013.  Adjusted EBITDA was $92 million compared to adjusted EBITDA of $134 million in the year-ago quarter and $101 million in the prior quarter.  Adjusted net loss attributable to Tronox Limited in the third quarter was $55 million, or $0.48 per diluted share, versus adjusted net income of $24 million, or $0.20 per diluted share, in the third quarter 2012 and an adjusted net loss of $15 million, or $0.13 per diluted share, in the second quarter 2013.

Third Quarter 2013 Highlights:

    Revenue of $491 million; adjusted EBITDA of $92 million; adjusted diluted EPS attributable to Tronox Limited of ($0.48)
    Mineral Sands segment revenue of $245 million; adjusted EBITDA of $95 million
    Pigment segment revenue of $300 million; adjusted EBITDA of ($3) million
    Board declared quarterly dividend of $0.25 per share payable on December 3, 2013 to shareholders of record of company’s Class A and Class B ordinary shares at close of business on November 18, 2013

Tom Casey, chairman and CEO of Tronox, said: “Our third quarter financial results reflect market conditions that are stabilizing.  Pigment sales volumes remained strong for the third consecutive quarter.  Sales volumes equaled those of the seasonally strong second quarter and were 33 percent higher than the year-ago quarter.  Sequentially, pigment selling prices have been essentially level for two quarters, down 1 percent for the second consecutive quarter.  Mineral Sands revenue was 10 percent lower than the prior-year quarter due to lower selling prices.  However, our Pigment segment captured the benefit of these declines in the form of lower feedstock costs.  Current industry fundamentals, in our view, indicate that the pigment market is bottoming and will remain stable for several quarters before turning upward.  U.S. housing, Asian infrastructure spending and more stability in European markets should continue to keep demand firm.”

Casey continued: “We are pursuing a disciplined approach to growth and see ourselves as an advantaged consolidator in the global pigment industry.  We bring synergies as would any other strategic buyer.  In addition, we bring what we estimate could be more than $5 billion in future tax deductions which would result in substantially more free cash generation from the same EBITDA as any other potential buyer.  These deductions apply only to U.S. taxable income.  We are in the desirable position of having strategic flexibility coupled with a strong financial position.  Our field of view is wide as we evaluate growth options and our focus is on growth vehicles that will deliver the highest return for our shareholders over the medium to long term.  As a result of this disciplined approach and the strength of our operating cash flow, we have the ability to pay a quarterly dividend yielding an attractive return, while at the same time evaluate ways to expand our scale relative to the market.  We remain very confident in the long-term value creation potential of our business and are committed to deliver that value to our shareholders.”