Bayer expects better showing in 2002

Bayer expects better showing in 2002

Publicly listed firm PT Bayer Indonesia experienced a sharp
decrease in its net income last year, but expects a better
showing this year on the improved business climate in the
country.

"Although risks remain on the sustainability of economic
recovery, we expect for 2002 a solid increase in income and
sales," Hans-Josef Schill, Bayer's president director, said
during the company's annual shareholders meeting over the
weekend, in a press release.

In 2001, the company's net income declined to Rp 23.2 billion
(around US$2.8 million) from Rp 52.8 billion a year before due to
an unfavorable business climate and continued weakening of the
rupiah.

However, the company posted a 9.2 percent increase in total
sales from Rp 667.5 billion in 2000 to Rp 728.9 billion last
year. --JP

Cibibong suffers losses in Q1

JAKARTA: Cement makers PT Semen Cibinong recorded losses of Rp
52 billion (US$6 million) in the first quarter of the year
following an increase in operational costs and a drop in export
proceeds resulting from the strengthening of the rupiah.

The firm blamed the rainy season and severe flooding in the
first months of the year for the loss as it raised production and
transport costs.

In comparison, the company booked a Rp 32 billion profit
during the same period last year, a press statement said.

Overall, the firm posted a total sales volume of 1.34 million
tons in the first quarter, a slight increase from 1.3 million
tons in the same period the year before.

The volume of domestic sales decreased to 823,000 tons in the
first quarter, as against 960,000 tons last year, while export
sales jumped from 344,000 tons in the first quarter last year to
519,000 tons as of March this year. -- JP

Japan's dairy producer to cut 1,300 jobs

TOKYO: Japanese dairy maker Snow Brand Milk Products Co. will
slash about one-quarter of its work force to cope with heavy
losses following a string of scandals, Japanese newspapers
reported Saturday.

Snow Brand will seek 1,000 voluntary retirees in early August,
as part of a revamp before a planned spin-off of its milk unit,
Japan's economic newspaper Nihon Keizai reported. The company
also plans to get rid of 300 more employees through attrition
later this year, the newspaper said.

The company's milk unit is expected to merge with two quasi-
public food cooperatives later this year. About 1,500 Snow Brand
employees are expected to join the newly formed company.

Phone calls to the company were not answered Saturday.

Snow Brand has been plagued by scandals dating back to a food
poisoning case in 2000 that was blamed on haphazard cleaning of
valves at a plant. --AP

Lucent may slash up to 20,000 jobs

SAN FRANCISCO: Telecommunications and network equipment maker
Lucent Technologies could slash up to 20,000 jobs when it
releases its third-quarter results in July, analysts said Friday.

"Given continued sector weakness, we see Lucent at a
crossroads, deciding between the current moderate pace of
restructuring and another large-scale layoff," analysts Chris
Fischer and Todd Koffman of the Raymond James brokerage wrote in
a note to investors.

The company on Thursday warned its third-quarter results would
plummet 10 to 15 percent from the previous quarter, blaming slow
buying by US telephone carriers.

Lucent, the world's largest telecommunications equipment
manufacturer, last reported a staff of 77,000 worldwide. Company
officials have made no secret of their desire to pare their
payroll down to around 50,000. --AFP