Foreign expansion hallmarks PZU's mid-term plans

The company wants to expand in Poland by at least 4-6% a year, and to gain a significant position on neighboring countries markets. PZU hopes that in five years time its foreign entities will generate at least zł.1 billion in revenues a year. "We want to retain our leading position in this country, but we are also going to operate in the similar financial services sectors in central and eastern Europe if such actions increase the value of our company," said Cezary Stypułowski, president at PZU. The company estimates that over the next five years the insurance market in Poland will grow by 6-8% a year. Our strategy envisages an increase in revenues and simultaneous cost cutting. According to PZU, its current activity costs in this country are too high by some zł.200 million. Cezary Stypułowski did not want to reveal PZU's projected net profit for the period. (Parkiet, p. 1) A.F.