Break-up hurts CCCF business

The CCCF Bucharest construction company, which was once one of the top two players on the market, last year posted 29 million euro (105.12 million RON) turnover, down 45% from 2004, company officials say. Moreover, the company posted losses of approximately 11 million euros (40 million RON) in 2005, up 22% on the previous year. The business of CCCF Bucharest has been dwindling since 2002. The company has been seeing its financial results constantly decline, with the value of the turnover in 2004 being 21% lower than the 60 million euros posted in 2003. “Last year’s turnover went down because of the lack of contracts, as well as because of 13 branches breaking free from the company and becoming subsidiaries that had their own separate budget and management,” CCCF’s financial manager Petre Goroncea told ZIARUL FINANCIAR. The company representatives had said as early as last year that they would reduce the large number of branches and offices and would change their line of business to other fields, such as civil engineering and industrial construction, as well as prefab production. “We expect a significant turnover increase as of this year, due to the many railway and road infrastructure projects announced for the next few years,” Goroncea says. The projects the company carried out last year include the rehabilitation of the bridge in Bucov (Prahova county), damaged by floods and the continuation of the work on the Drajna-Fetesti and Fetesti-Cernavoda highway sections performed in partnership with Max Bogl and Astaldi.