/[corp_html]/news/2.html
This is repository of my old source code which isn't updated any more. Go to git.rot13.org for current projects!
ViewVC logotype

Annotation of /news/2.html

Parent Directory Parent Directory | Revision Log Revision Log


Revision 1.1.1.1 - (hide annotations) (vendor branch)
Sat Feb 3 20:19:15 2001 UTC (18 years, 5 months ago) by dpavlin
Branch: MAIN, dbp
CVS Tags: alpha, HEAD
Changes since 1.1: +0 -0 lines
File MIME type: text/html
alpha

1 dpavlin 1.1 <html>
2    
3    
4    
5     <head>
6    
7     <meta http-equiv="Content-Type" content="text/html; charset=windows-1250">
8    
9     <title>Welcome to PLIVA d.d. Zagreb Croatia</title>
10    
11     </head>
12    
13    
14    
15     <body bgcolor="#FFFFFF" topmargin="0" leftmargin="0" text="#000080">
16    
17    
18    
19     <table border="0" width="100%" cellspacing="0" cellpadding="0">
20    
21     <tr>
22    
23     <td width="10%" valign="top"><table border="0" width="100%" cellspacing="0" cellpadding="0">
24    
25     <tr>
26    
27     <td width="100%" valign="top"><table border="0" width="100%" cellspacing="0" cellpadding="0">
28    
29     <tr>
30    
31     <td width="50%"></td>
32    
33     <td width="50%"><img src="../images/icon_clip.gif" alt="Pliva Clippings" WIDTH="100" HEIGHT="97"></td>
34    
35     </tr>
36    
37     </table>
38    
39     </td>
40    
41     </tr>
42    
43     <tr>
44    
45     <td width="100%"></td>
46    
47     </tr>
48    
49     <tr>
50    
51     <td width="100%"></td>
52    
53     </tr>
54    
55     <tr>
56    
57     <td width="100%"></td>
58    
59     </tr>
60    
61     <tr>
62    
63     <td width="100%"></td>
64    
65     </tr>
66    
67     <tr>
68    
69     <td width="100%"></td>
70    
71     </tr>
72    
73     <tr>
74    
75     <td width="100%"></td>
76    
77     </tr>
78    
79     <tr>
80    
81     <td width="100%"></td>
82    
83     </tr>
84    
85     <tr>
86    
87     <td width="100%"></td>
88    
89     </tr>
90    
91     <tr>
92    
93     <td width="100%"></td>
94    
95     </tr>
96    
97     <tr>
98    
99     <td width="100%"></td>
100    
101     </tr>
102    
103     <tr>
104    
105     <td width="100%"></td>
106    
107     </tr>
108    
109     <tr>
110    
111     <td width="100%"></td>
112    
113     </tr>
114    
115     <tr>
116    
117     <td width="100%"></td>
118    
119     </tr>
120    
121     </table>
122    
123     <p><br>
124    
125     </td>
126    
127     <td width="60%" valign="top"><table border="0" width="100%" cellspacing="0" cellpadding="0">
128    
129     <tr>
130    
131     <td width="100%"><font FACE="Arial" size="3"><b><a name="PLIVA’S SHARES VALUE MUST RETURN TO 600 KUNA">PLIVA’S SHARES VALUE MUST RETURN
132    
133     TO 600 KUNA</a></b><p></font><font FACE="Arial" size="2">Vecernji list, Wednesday,
134    
135     09/09/1998 </p>
136    
137     <p>Our share price has drastically decreased, but not due to incompetent business
138    
139     activities, but because of the global market crisis. *Because of the Russian crisis,
140    
141     almost all foreign investors have withdrawn from Croatia, and the Zagreb Stock Exchange is
142    
143     practically out of business. *Almost all expert analysts estimate that the PLIVA’S share
144    
145     price must increase from its present 350 kuna to some 600 kuna. *We shall continue
146    
147     supplying hospitals, but large scale drug-dealers will be cut off until they pay their
148    
149     debts, totalling some 400 million kuna. </p>
150    
151     <p>&nbsp;</p>
152    
153     <p>Reporter: Diana Glavina, Vecernji list</p>
154    
155     <p>The President of the Croatian multinational company PLIVA, Zeljko Covic, M.Sc., is
156    
157     extremely pleased. The reasons are, above all, the excellent six-month results, high rates
158    
159     of increase, which are the best proof of PLIVA’s steady growth. In comparison to the
160    
161     same period last year, the PLIVA’s total income increased by as much as 31.1%, amounting
162    
163     to 1.8 billion kuna. EBIT increased almost 30% (615.4 million kuna, representing 80% of
164    
165     1997 totals). Net profit increased 7.7% to 407.7 million kuna. </p>
166    
167     <b><p>How do you explain these extremely high sales growth rates?</b></p>
168    
169     <p>- PLIVA’s goal – the internationalisation of business activities – has from the
170    
171     very beginning been marked with our endeavours towards an increase of our profit from the
172    
173     international market. And today, for the first time, the international market profit
174    
175     share, which amounts to 57.6%, is for the first time larger than the profit share from the
176    
177     domestic market. Our short-term goal is 60%, in order to ensure the additional stability
178    
179     of the company. Furthermore, PLIVA has an optimal export structure in certain regions, so
180    
181     that immediately after Croatia and its 42% share of total income are the countries of
182    
183     Central and Eastern Europe with a 25% share, and this amounts to an 147% sales increase in
184    
185     comparison with the first six months of last year. This is partially a result of our
186    
187     acquisition of Polfa Krakow, but even without that, our profits in the region have been
188    
189     constantly increasing. I would like to point out that only three years ago, our profit
190    
191     from the above mentioned countries amounted to three or four percent. Then followed
192    
193     Western Europe with eight percent of income, which means that sales increased by 69%
194    
195     there. America accounts for 18 percent of PLIVA’s income, and Russia four percent.</p>
196    
197     <p>Income in Croatia has grown around 8.9 percent, which only proves our thesis that the
198    
199     possibilities for a more meaningful growth in Croatia are limited by the size of the
200    
201     market. </p>
202    
203     <b><p>Despite the outstanding financial results, PLIVA’s share price has decreased
204    
205     considerably. What is your explanation of such a contradictory situation?</b></p>
206    
207     <p>- It is a fact that the price of shares has dropped considerably. But this is merely
208    
209     the result of international market trends, the result of the crises which have shaken up
210    
211     the global economy and finances. At the moment, Russia is at the centre of all the crises,
212    
213     but let us not forget that the complete effects of the Asian crisis are not yet known. And
214    
215     it is a well-known fact that in such moments of crisis, investors react with panic and
216    
217     make irrational decisions. These may be non-selective decisions whose repercussions may be
218    
219     felt throughout the whole region, not differentiating between the companies and countries
220    
221     which are and which are not in crisis. </p>
222    
223     <p>And this is why at the moment Croatia is being connected with the Russian crisis. </p>
224    
225     <p><b>What is your position as a successful company in such circumstances – are you
226    
227     powerless or are you going to be able to make certain moves?</b></p>
228    
229     <b><p>- </b>We have just published our financial results, and as usual, we are going on
230    
231     the “road show” with an aim of explaining to the shareholders and foreign investors
232    
233     the difference between the Croatian market and PLIVA and all the latest events in Russia. </p>
234    
235     <p>Due to the Russian crisis, all foreign investors have withdrawn from Croatia. The
236    
237     Zagreb Stock Exchange is practically out of business, and the situation in the countries
238    
239     of Central and Eastern Europe, including Russia of course, is very much alike. As I said,
240    
241     our income from Russia is four percent, so even if we calculate all the possible risks
242    
243     which PLIVA might take due to the devaluation of the Ruble and the crisis on the whole,
244    
245     our losses would be practically non-existent. On the other hand, we hold as our advantage
246    
247     the fact that PLIVA’s income from the stable parts of the world drastically decreases
248    
249     the risk of investments in PLIVA. </p>
250    
251     <b><p>Have you got expert estimations regarding the PLIVA’s share price in the future?</b></p>
252    
253     <p>- All the serious analysts are predicting a speedy recovery of PLIVA’s shares, and
254    
255     according to their estimations the share price should increase to around 600 kuna. The
256    
257     Russian tornado has passed over our country too, but I repeat, we are going to use firm
258    
259     arguments to ensure the investors that the risk of investing in PLIVA truly is minimal.
260    
261     For example, sales of Azithromycin alone represent 30 percent of our income and is
262    
263     virtually risk-free. This allows us to give a strong argument to investors and
264    
265     shareholders and ask them not to put us in the same basket with Russian companies, which
266    
267     rely exclusively on their domestic market and which are over-burdened with massive debts. </p>
268    
269     <b><p>Still, according to some analysts, investment banks are saturated with PLIVA’s
270    
271     shares and this is why they are selling them now.</b></p>
272    
273     <p>- This is only partially true, or insufficiently explained: when investors are
274    
275     withdrawing from a certain market, they sell whole packages of shares, and among them
276    
277     could be a Russian company, a Latin-American company and PLIVA. This is the so-called
278    
279     cleaning of the portfolio for the purpose of fast withdrawal from so-called emerging
280    
281     markets, in order to invest elsewhere. Besides, many funds have orders not to invest in
282    
283     emerging markets. Therefore, it is very important for us too to see the end of the Russian
284    
285     crisis and the beginning of a period of political tranquillity. </p>
286    
287     <b><p>Have you got any receivables from Russia?</b></p>
288    
289     <p>- Our relatively conservative policy towards Russia has proven itself a very reasonable
290    
291     one today, even though at the time there had been some foreign investors who held our
292    
293     policy against us. However, luckily we know the Russian market and we know that
294    
295     investments in Russia involve a lot of risk. Our receivables from Russia amount only to
296    
297     around 50 million kuna, and we received around USD 9 million over the period of the last
298    
299     eight months. Receivables are dispersed among more than 40 clients, so even if the worst
300    
301     case of their bankruptcy came true – we would not be affected very much. </p>
302    
303     <b><p>Are you planning any new acquisitions after those in Poland and Slovakia? </b></p>
304    
305     <p>- Today PLIVA is already the absolute leader in the pharmaceutical industry in this
306    
307     part of Europe. We intend to increase our market share in this region, and are therefore
308    
309     analysing all the possibilities of growth, development and, of course, further investment
310    
311     in the countries of Central and Eastern Europe, and we shall even invest in Russia.</font></p>
312    
313     <p>&nbsp;</td>
314    
315     </tr>
316    
317     </table>
318    
319     </td>
320    
321     <td width="15%"></td>
322    
323     </tr>
324    
325     </table>
326    
327     </body>
328    
329     </html>
330    

  ViewVC Help
Powered by ViewVC 1.1.26