Interests, sole profit source for Rulmentul

Income posted last year by Rulmentul Brasov – 6.7bn ROL is about 90% lower in real terms than in 2001, when the company posted 36bn ROL in net profit. Last year’s profit was largely due to the revenues derived by Rulmentul from interests and exchange rate gaps. Rulmentul’s turnover went down 10% in real terms last year, to 1,215bn ROL ($37 million). The company’s S&R budget shows Rulmentul is planning to make 44bn ROL in net profit, while turnover should reach 1,400bn ROL in 2003. The international bearings market is going through times of recession, which, after all, was one of the causes why the company’s privatisation process failed last year, as analysts say. The Privatisation Authority (APAPS) holds 51% in Rulmentul and negotiated with Turkey-based Kombassan and Ortadogu last year, to no avail though. Mondexim SRL, based in Brasov, had also submitted a bid back then, but was not accepted for negotiations. Privatisation could be resumed this April, as soon as the receivables the Banking Assets Resolution Authority (AVAB) holds against Rulmentul are swapped for equity, with the shares offered as a stake. ZF