Polish Business Survey
Tobacco excise to increase
From 1 June a new system of excise duty on tobacco products will come into force. This system will bring Poland into line with EU requirements and will involve an increase of around 13 percent.
Train drivers threaten strike
The train drivers union has threatened to strike if the management of the railways does not change its policy. Other unions representing the railway workers and Solidarity and accounting for 70 percent of the PKP workforce are distancing themselves from this threat.
Share issue for Energomontaż-Północ
A decision for a new share issue of Elektromontaż-Północ will be made this year. The company is hoping to raise PLN60m for the purchase of equipment and land to develop.
Optimus at a loss what to do
Optimus, Poland s largest computer distributor, is to be divided although MD Roman Kluska is unsure how to do it. The company is seeking a powerful strategic alliance which could be with Elektrim. Potential foreign buyers have appeared although it is unlikely that companies like AOL or Bertelsman will take Optimus.
Elektrim to complete Internet purchases
Next week Elektrim should finish the purchase of shares in Internet based AGS New Media and Easy Net. The cost of this purchase is around USD52.5m. Easy Net provides services to end-users such as empik.com, galeriacentrum.com, smyk.com i aukcja.com. AGS provides Internet programming.
No cash for small business
One year ago the government agreed to help small and medium sized companies with a special programme of financial aid yet so far no cash has materialised. Supposedly PLN58m of aid is to be directed towards small and medium sized companies every year during the four years of the scheme although in practice this is highly unlikely to happen.
Swiss want 5 percent of yogurt market
The Swiss Toni Polska, present in Poland for 18 months, has announced that it is aiming at getting two percent of Poland s yogurt market by the end of the year and in 2001 five percent. Before it can do this it must build a distribution network and then launch an advertising campaign. The company however has no intention of building factories or taking over dairies.
No decision on PZU
Contrary to expectations, the government made no decision yesterday on the sale of a 25 - 30 percent stake of insurance giant PZU to Eureko. Eureko already has a twenty percent share of the company.
Cash only for coal
From 1 October of this year mines will sell coal uniquely for cash. This is the most recent attempt at improving cash flow at the pit heads and eliminating transactions in kind which currently make up over thirty percent of sales.
Treasury in no hurry to sell mill
The treasury has decided to hold back on the privatisation of the Huta Florian steelworks until the future of the larger Katowice and Sendzimir mills has been decided. In the next three year Huta Florian will invest nearly PLN90m which will come from credits. It recently spent PLN216m and believes it has enough debt. It is therefore hoping that the government will come to a quick decision on its privatisation.