KGHM's surprise projection unnerves investors

The drop was caused by the publication of the copper concern's financial projection for 2005 which stated that next year's net profit will total zł.943 million. That is 30% less than the figure planned for this year. Most analysts consider the p rojection to be realistic. "The prognosis is not a surprise. We expected next year's results to be worse," said Sebastian Słomka from BDM PKO BP. However, investors reacted nervously and began to sell KGHM shares. "Some investors may feel misled," explains Słomka, "They remember that a month and a half ago KGHM president, Wiktor Błądek, talked about the possibility of generating a profit of zł.2 billion and now they learn that the profit will be lower by half. The macroeconomic situation has not changed that much." (Parkiet, p.2; Puls Biznesu, pp.1,9) E.B.