Home News UPDATE: KlöCo will write again in 2010 the black

UPDATE: KlöCo will write again in 2010 the black


Martin Rapp

FRANKFURT (Dow Jones) – Kloeckner & Co SE (KlöCo) wants for the loss-making year 2009 this year Leave at least operationally black again. Based on the Earnings before interest, taxes, depreciation and amortization (EBITDA) is a much positive result is generated, announced the Duisburg Steel distributors on Tuesday at.

The overall corporate goal to an EBITDA margin of at least 6% will be achieved this year but not yet confirmed KlöCo earlier statements. Therefore, the sales growth of 2010 less than 20%. This had the CEO Gisbert Rühl already predicted last week.

Last year, the depression had left at KlöCo deep traces in the figures. Thus, the company sold 4.1 million with Tons, almost one third less, sales declined by almost 43% to EUR 3.9 billion back. Besides the decline in sales KlöCo did this also the significantly lower price levels responsible.

To counter KlöCo had launched an austerity program. Among other things, the number of employees was reduced by 1,500. The goal of EUR 100 million less expenses was more than 30 million EUR been exceeded, the CEO said on the Gisbert Rühl Annual press conference at its headquarters in Duisburg. Nevertheless, "we have the invasion of Not fully offset by revenue savings can, "Ruehl said the resulting loss.

In the second half, although the situation improved. The Company rejected for the third and fourth quarters a positive operating Score from and referred to the saving and the renewed upturn Price level. But the burden from the first half was too great. Total fall of 2009 EBITDA loss of EUR 68 million after a profit of 600 Million in the previous year.

The bottom line showed a net loss of 186 million euros. This benefited from the reduction of a KlöCo antitrust fine, the loss EUR 79 million was lower. At the same time took the Company extraordinary depreciation of EUR 42 million before which, according Rühl particularly in the business in Spain incurred. 2008 KlöCo had earned a total of 384 million euros.

In addition to savings efforts, and liquidity management was in Last year, the focus of management. From high in mid-2008 to end In 2009, the stocks were nearly halved. The resulting freed up capital was used to repay debt. Within one year was turned into a net debt of EUR 570 million surplus of liquid assets over financial liabilities of 150 million EUR.

Thus KlöCo was towards the end again on the strategy swing in growth through acquisitions. Swiss Bläsi and Becker, the German steel service were taken, the 2008 revenues of EUR 632 million were. Of the projected Revenue growth of 20% this year to half of these acquisitions . resulting

Rühl put further acquisitions in prospect. "The Examination of potential acquisitions is a constant Process, "he said, without, however, on a date for the Set next transaction to want. Ruehl said only that KlöCo in the United States had already been received on a candidate. There wants to Companies, as already achieved in Europe, including the three largest Distributors rise. Currently KlöCo is according to their own information on Square 10

Basically, the company has medium to loud Rühl larger acquisition targets in its sights. Of the acquisitions of provided EUR 600 million after the recent transactions were more than half left, said the CEO.

The other half of sales growth will KlöCo achieved organically. The basis for the company still sees as fragile at. The demand was mainly from the storage building at Customer driven, it said. The real demand will however only slightly. Therefore, the margin of more than 6% was only in the Next year, realistically, said Ruehl.


Website: www.kloeckner.de

-By Martin Rapp, Dow Jones Newswires, +49 (0) 211 13 87 214;
martin.rapp @ dowjones.com
DJG / mmr / jhe
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(END) Dow Jones Newswires

March 09, 2010 07:14 ET (12:14 GMT)

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