Credit crunch hits hard at Lenzing
The decline of the global economy has had a significant impact on the global fibre industry, according to Lenzing.
The company’s sales fell 18.1% in the first quarter to EUR346.8 million compared with EUR284 million in the first quarter of 2009.
The company claims the dramatic collapse of fibre prices, particularly in Asia, and lower quantity sales were the main reasons for the decline.
Peter Untersperger, chairman of its management board said: “The recession already left a very clear mark on the fourth quarter of 2008 and this negative trend has become even more pronounced with the beginning of 2009.”
Lenzing expects 2009 to be difficult and volatile, particularly in view of the further marked global economic decline in the first months of 2009. Domestic demand in western industrialised nations remains weak and prices remain unsatisfactorily low.
