Famos hit by recession

Harghita-based Famos, a maker of furniture and wooden panels, which it exports, concluded first half with poorer results than last year due to the recession in Western Europe. The H1 turnover was of 4.2 million euros and the company officials anticipate it to reach 7.2 million euros by yearend, 9% less than last year (7.9 million euros). “The demand is very low, as we mainly get very small orders. We export about 97% of our output and the conditions in the euro zone largely impact on our results,” Tiberiu Emeric Dobay, Famos’ general manager told Ziarul Financiar. Famos’ H1 profit amounted to 6bn ROL (164,000 euros), compared to the 37bn ROL (1.18 million euro) full-year profit in 2002. The data provided by the company show profit to have doubled in 2002 from the previous year. Famos exports most of its output and its main outlets are Germany (40%), the Scandinavian countries (25%), Holland, England and Austria (10% each). About 15% are sold in Eastern European countries and sometimes to Russia, Macedonia, Ukraine and the domestic market. The data reveal the company to have been constantly investing in improving its productive facilities and in equipment upgrade since 1990. ZF