The Slovenian ski manufacturer Elan increased its losses in the first six months of 2007 by one third compared to the same period last year, reported RTV Slovenia on its website.
The company did not want to disclose the exact figure for the losses, citing an unusually mild winter as the reason. Revenue is likely to decline for the entire year of 2007, by 12 percent to 65.8 million euros, and the company expects further increases in losses. The already reduced production plan of 640,000 pairs of skis in 2007 has been cut by an additional 10,000 pairs, RTV Slovenia reported.
Elan’s parent company Skimar expects that the entire Elan group, which includes the ski manufacturing department as well as the nautical department and the sports hall equipment business, will achieve total revenue of 122 million euros. Skimar plans to increase capital by 10.2 million euros soon, which shareholders will decide on at the beginning of next week. Slovenian media report that KD Kapital, one of Skimar’s largest shareholders, has already announced that it will not approve such an injection. The reason cited is its dissatisfaction with the state’s interference in the business decisions of the management board. (Hina)
