Paper distributor hopes venture into plastics will help double profits

Cezex, the largest paper distributor, which has a 20% market share, announced plans to expand operations into plastic goods distribution. This way, the company expects its revenues to grow by 37% and its net profits to double. "The new product range is a response to the needs of our customers, as well as our willingness to enter a market of high potential growth," said Robert Tomaszewski, director of Cezex's development department, during a press conference yesterday. Similarly as in paper distribution operations, the company wants to concentrate on servicing small and medium sized enterprises. To fulfill these plans the company began construction of a new 6,000 square meter warehouse, as well as expanding its existing ones. Expenditures related to these investments will total at least zl. 9 million. Last year, Cezex recorded revenues of zl. 181 million with net profits of zl. 180,000. The projected 2002 turnover is zl. 230 million and net profits are expected to double. (Rzeczpospolita, p. B3) A.K.