BHP, Rio Profit Estimates Cuts By Merrill on Metal, Bulk Prices

March 6 (Bloomberg) -- BHP Billiton Ltd. and Rio Tinto Group, the world’s largest and third-largest mining companies, had their earnings estimates cut by Merrill Lynch & Co. by as much as 45 percent because of declining metal prices. Rio’s 2009 profit may be $4 billion, 45 percent lower than the brokerage’s earlier estimate, analysts led by Olivia Ker said in a report yesterday. BHP’s profit may be $8.8 billion in the year ending June 30, 17 percent below an earlier estimate, she said. “We have downgraded our commodity price forecasts to reflect ongoing weakening in global economic activity and the decline in commodity trade and demand growth,” Ker said.