KGHM "certain" of recording net profit in first quarter

Copper and silver miner KGHM Polska Miedz said yesterday that more favorable metals prices and a weaker zloty should allow the firm to post profits from its core operations in the first quarter. KGHM, the world's sixth largest co pper producer and number two in terms of silver output, suffered a sharp zl. 244 million loss in the last three months of 2001 due to unfavorable market conditions and heavy restructuring provisions. "We are certain that we will have a net profit in the first quarter," chief executive Stanislaw Speczik t old reporters. The company has targeted earnings of zl.52 million from its c ore operations in the whole of 2002. Referring to plans to restructure KGHM' s debt, Speczik commented, "It is not a problem for the company to have a de bt of zl.600 million to zl.700 million." The company expects to begin negoti ations in mid-March with its creditor banks, with the aim of extending the r epayment period for zl.1.2 billion of short-term debt. (Rzeczpospolita, p. B 3; Reuters) A.K.