Last year was a tough year for blue chip companies, most of which saw their stock prices collapse. Elektrim felt it the most with a 77 percent fall throughout the year. KGHM took a fifty percent cut and Orlen 17 percent. It is hard to believe that 2002 could promise much better.
All major companies have major changes ahead of them. Former telecoms monopoly TPSA, which is controlled by France Telecom, may have to open a PLN750m reserve for restructuring, reducing employment and to cover PLN250m in bad debts. Consolidated earnings for 2001 came to PLN170m as opposed to PLN900m in 2000.
KGHM is claiming that it will make a small profit in 2001 and is hoping to be PLN100m in the black in 2002. Its aim is to reduce costs particularly in copper mining. However the cost of financing independent telecoms operator Telefonia Lokalna may bite hard into those profits.