Izolacja to invest $1 mln to establish Ukraine subsidiary

Tar-paper producer Izolacja Zdunska Wola intends to launch a subsidiary in Ukraine. The investment will cost $1 million. Recently, the company has registered a drop in demand for traditional tar-paper and an increase for modernized modified tar-papers. Since the competition in that sector is stiff in Poland, Izolacja hopes the creation of a subsidiary in Ukraine will result in a greater demand not only for modern tar-paper but also for the traditional one. In the first quarter of 2000, Izolacja had a net profit of zl. 5.3 million and sales revenue exceeded zl. 100.5 million. Izolacja is also the only shareholder in the Czech Republic-based SIZ Horni Benesov. (Parkiet, page 3)