Polish Copper profits affected by slump in world prices

Polish Copper (KGHM) has announced that its second quarter net profit amounted to zl. 43 million, which was zl. 10 million more than expected by market analysts. Company profits for 2002 now total zl. 145, which is 23% lower than for the same period last year. KGHM puts the reason for this down to the falling price of copper on world markets, which decreased sales revenues by 3% to zl. 2.15 billion. The company has recorded zl. 6 million profits on financial activities, which produced zl. 80 million losses during the first half of 2001. "We owe these good results to currency and commodities transactions and interest received on Telefonia Dialog bonds," said Mieczyslaw Maksimczyk, controlling director of KGHM. The company plans to correct its 2002 profits forecast in September if the prices of copper re main under $1,500 per tone. KGHM is looking for an investor for its Telefonia Dialog subsidiary. (Parkiet, p. 5) M.M.