Pollena Ewa begins to wake up to it failings

The supervisory board of cosmetics producer Pollena Ewa (PE) have pointed at falling sales, wrongly formulated contracts, the high level of outstanding receivables and excessive employment, as the main threats to the company's existence. In 2002, the average monthly sales of PE amounted to zł.3.8 million, while last year the figure decreased to zł.2.5 million. Furthermore, according to the supervisory board, the firm did not benefit enough from modern distribution channels and retail networks. They went on to say that the firm has a far too extensive range of products, which caused their shortages and caused problems when processing orders. The board also stressed that PE's zł.13.7 million loss was mainly due to its difficult revenue and cost structure and the necessity to write-off certain losses. The management of PE has already commenced restructuring through lay-offs and is analyzing products on offer. (Parkiet, p. 4) M.M.