Semen Gresik swings to profit

Semen Gresik swings to profit

JAKARTA: Indonesia's largest cement maker, PT Semen Gresik,
said Thursday it booked a first-half net profit of Rp 170.38
billion (US$19.3 million), swinging from a net loss of Rp 41.39
billion a year earlier mainly due to foreign exchange gains.

Gresik said it recorded unrealized foreign exchange gains of
Rp 69.80 billion in the first half of the year, compared with
losses of Rp 329.87 billion a year earlier as the rupiah
appreciated to Rp 8,730 as of June 30 from Rp 10,440 a year ago.

Like many Indonesian companies, Gresik is exposed to foreign
currency fluctuation due to its dollar-denominated debt.

Its net sales inched up 8.6 percent to Rp 2.40 trillion, but
gross profit fell to Rp 775.55 billion from Rp 846.47 billion as
production costs rose to Rp 1.63 trillion from Rp 1.31 trillion.

The company didn't explain what drove production costs higher,
but analysts predicted the costs would rise after the government
scrapped fuel subsidies for industries in March. Dow Jones

;Agencies;
ANPAf..r..
CorporateBrief-Toyota-China
Toyota marks full entry into China
JP/14/brief

Toyota marks full entry into China

BEIJING: Japan's Toyota signed a major agreement Thursday with
China's giant First Automotive Works to produce three vehicles in
China and build a joint venture factory in the northern port city
of Tianjin, company officials said.

The companies will build a new factory in Tianjin to make mid-
to high-end sedans, with production expected to start in 2005 and
targeted at 50,000 units a year made under the Toyota brand.

The agreement is expected to mark Toyota's full entry into
China's car manufacturing market after the well-established debut
of top competitors like Germany's Volkswagen Group and Buick of
General Motors, Toyota sources said earlier in Tokyo.

The companies also agreed to jointly produce two other
vehicles, including a sports utility vehicles under the Toyota
brand starting next year.

By 2010 the venture aims to produce and sell 300,000-400,000
vehicles a year. --AFP

;Agencies;
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CorporateBrief-EVA-profit
EVA Airways returns to profit
JP/14/brief

EVA Airways returns to profit

TAIPEI: Taiwan's second largest airline EVA Airways Corp. said
Thursday it returned to the black in the six months to June as
the aviation industry started recovering from last year's slump.

The airline posted a net profit of NT$760 million (US$22.2
million), compared with a loss of NT$2.52 billion a year earlier.

The profit came on the heels of an increase in passenger
flights on the Taipei-Tokyo route and with more seats being
filled on other services, EVA said in a statement.

Passenger sales rose three percent to NT$15.4 billion and
cargo sales gained 18 percent to NT$11.6 billion with freight
showing a marked recovery since the fourth quarter of last year,
it said.

Overall sales in the six months reached NT$29.1 billion
dollars, up 13.2 percent a from a year earlier. --AFP