Back-tax bill blows hole in CSS 2005 profit forecast

As a result, CSS closed Q2 this year with a consolidated loss of zł.1.45 million. Meanwhile, the company's 2005 projection envisages a net profit of zł.6.5 million. In 2004 the net profit amounted to zł.5.3 million. "It is true that while preparing our financial plans for this year we did not take into account the necessity of paying the back tax," said Rafał Jagniewski, financial director at CSS. Now, in order to meet the projections the publicly-listed CSS would have to generate the net profit of about zł.10 million over the second half of the year. In 2004 the company's net result for the analogous period was less than zł.4 million. CSS was also planning to dynamically expand its capital group through acquisitions, but the conflict with UKS may have a negative influence on these plans. (Parkiet, Sept. 10-11, p. 3) A.F.