MAN Roland is expecting its pre-tax earnings for 2002 to be "only slightly positive". In its first half report, the group had estimated its pre-tax earnings for the year at about half the 2001 figure, of €89M.
"This target is no longer achievable due to the development that has taken place since then," the company states.
"The economic recovery expected for the second half of the year has failed to materialize," it continues. "The business volume in sheet-fed press activities, and the international sales and service companies continues to be very low. Weak demand and resultant intensive competition have produced a strong pricing pressure. Capacity utilization in the sector is unsatisfactory."
It concludes: "Precautionary expenses for restructuring measures that have become necessary at the Offenbach site, and in the sales and service companies are leading to substantial burdens on the result".
More information from: Sigrid Brust, MAN Roland – TEL: +49 821 424 3058. EMAIL: Sigrid_Brust@mra.man.de
