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TORONTO - Magna earns a small profit

Magna International Inc. (TSX:MG.A) reported a small profit in the third quarter, reversing a year-earlier loss despite a 14.5 per cent decline in revenue.

The Canadian auto parts giant, which keeps its books in U.S. dollars, said Thursday it earned US$51 million or 45 cents per share in the third quarter, reversing a year-earlier loss of $215 million or $1.93 per share.

Sales for the company headquartered in based in Aurora, Ont., were $4.7 billion, down from $5.5 billion in the third quarter of 2008 as a result of "significant declines" in vehicle production in both North America and Europe.

"Our ongoing restructuring actions and implementation of a number of cost saving measures all contributed to our improved financial results," the company stated.

Magna said vehicle production in North American fell 20 per cent year-over-year to 2.3 million units, while production in Europe dropped nine per cent to 2.9 million units. However, quarter-over-quarter vehicle production increased 32 per cent in North America.

Manulife and Sun Life lose money

TORONTO - Losses rained down on two of Canada's biggest life insurance companies on Thursday as volatility on the stock markets, narrowing spreads and interest rates pulled results at Manulife Financial and Sun Life into the red.

Meanwhile, competitor Great-West Lifeco eked out a profit.

Manulife chief executive officer Donald Guloien told analysts that the life insurer continues working to improve margins, increase sales and its equity risk profile.

Manulife Financial Corp. (TSX:MFC) slid to a $172-million loss, worth 12 cents per share, as it booked a $1.1-billion pretax charge on changes in actuarial assumptions used to value its policy liabilities.

The results compared with year-earlier profits of $510 million or 33 cents per share, and also slipped below analyst predictions.

Source: The Canadian Press