Tile producer moves north, auto service chain branches out
The Plonck investment, expected to run about DM 20 million, will allow Braas greater penetration of northern Polish markets active in the building industry, Gatkiewicz said.
Braas' initial Opole investment came in part thanks to heavy construction in Silesia and, in particular, Katowice, Gatkiewicz said.
"This is a massive market," he said, adding that the same rationale goes for its Plonsk production plant. "The next biggest market is Warsaw."
While Braas officials considered setting up their second factory in Warsaw, property costs 25 times that in Plonsk helped them rule that idea out.
Higher prices in Nowy Dwor Mazowiecki also discouraged Braas from establishing its investment there, Gatkiewicz said.
"Because of these higher prices for land, we moved to Plonsk," he said. Braas employs 100 workers in Opole and will hire an additional 60 in Plonsk, Gatkiewicz said.
More suits
OPOLE - Ahlers Poland, which produces almost all Pierre Cardin suits and jeans sold in Europe, plans to spend DM 5 million in the first half of this year to increase production capabilities, said Marian Berman, the company's president.
Germany-based Ahlers employs 3,300 people in four production facilities here, Berman said. While the company is not considering opening a fifth plant, the DM 5 million planned investment is aimed at increasing production, following a 1998 sales increase of 22%, he said.
"Our plans don't include additional production facilities," Berman said. "They include making our current facilities more efficient."
The DM 4 million marked for new production lines in Lubinex, located in Lubin in southwestern Poland, is expected to increase efficiency there by at least 15%. A DM 1 million upgrade slated for Bielsko-Biala-based Bielkan should bring that plant's efficiency up by 25%, Berman said.
Ahlers Poland had 1998 turnover of zl. 34 million ($9.7 million), 70% of which was generated by Pierre Cardin suits and jeans, he said. While Ahlers produces a total of 12 name brands here, Jupiter and Pioneer jeans account for most of the other 30% of the company's turnover, Berman added.
New stations
Max Auto Express, a subsidiary of Makro Cash and Carry Poland, plans to invest up to zl. 35 million ($10 million) this year as it enters new cities across Poland.
"Business is getting better and better," said Pawel Nawrocki, managing director of Max Auto Express. "Our intention is to build between seven and 10 new stations this year."
The Max Auto Express stations provide quick car servicing, ranging from oil and tire changes to brake work and a car wash. The company began investing in Poland 13 months ago and has already plowed zl. 20 million ($5.7 million) into seven service stations throughout the country.
Since the end of 1997, Max Auto Express has started up stations in Warsaw, Lublin, Bydgoszcz, Gdynia, Zabrze, Rybnik and Bielsko-Biala.
This year the company plans to build new stations in Poznan, lodz, Sosnowiec, Szczecin and Bialystok, in addition to a possible second or third station in Warsaw, Nawrocki said. Each new station costs zl. 3 million-zl. 3.5 million ($850,000-$1 million) to build, he added.
"Our general intention is to be present in all big cities," Nawrocki said, adding that most Max Auto Express customers are usually nearby residents.
Max Auto Express has not ruled out future stations along heavily traveled roads, such as the Krakow-Zakopane route. But, Nawrocki said, "Car owners are not ready to travel to service departments outside of the cities."
Max Auto Express will likely place most of its 1999 investments next to Makro Cash and Carry outlets. It is also working out a deal with sibling retailer Metro to build stations there as well, Nawrocki said. There are currently 15 Makro Cash and Carry in Poland. Nawrocki would not disclose company earnings or turnover for the past year. "This is a long-term investment," he said. "Many Polish clients are not used to us. It takes a long time in each location before customers accept us."
But the company is ready to wait for the money to roll in. "We are not disappointed with the results," he added. "Hopefully next year we can speed up this process."
In the next two to three years, Max Auto Express may offer franchises, he said.
Chimney sweep
OPOLE - Schiedel, a Germany-based chimney maker, expects to begin use of its first Polish production facility later this month.
But while the company's first chimneys will come off its Opole line in late January, this will only be a "pilot" batch, said Rudolf Kania, Schiedel's general director here.
"Full production will start this year," Kania said. "We are in the final stages of our start up."
Schiedel has invested zl. 15 million ($4.2 million) in Poland since 1995. When the Opole factory is fully operational, it will have the potential to produce 500,000 meters of chimney material, the equivalent of approximately 50,000 single home chimneys annually, Kania said.
But Schiedel officials said they could not estimate just how much they will be able to sell in the first years of operation, Kania said.
"Before Schiedel, no one in Poland knew of this technology," Kania said. "No market analysis can show what the effects of this new technology will be on the building industry."
Braas' initial Opole investment came in part thanks to heavy construction in Silesia and, in particular, Katowice, Gatkiewicz said.
"This is a massive market," he said, adding that the same rationale goes for its Plonsk production plant. "The next biggest market is Warsaw."
While Braas officials considered setting up their second factory in Warsaw, property costs 25 times that in Plonsk helped them rule that idea out.
Higher prices in Nowy Dwor Mazowiecki also discouraged Braas from establishing its investment there, Gatkiewicz said.
"Because of these higher prices for land, we moved to Plonsk," he said. Braas employs 100 workers in Opole and will hire an additional 60 in Plonsk, Gatkiewicz said.
More suits
OPOLE - Ahlers Poland, which produces almost all Pierre Cardin suits and jeans sold in Europe, plans to spend DM 5 million in the first half of this year to increase production capabilities, said Marian Berman, the company's president.
Germany-based Ahlers employs 3,300 people in four production facilities here, Berman said. While the company is not considering opening a fifth plant, the DM 5 million planned investment is aimed at increasing production, following a 1998 sales increase of 22%, he said.
"Our plans don't include additional production facilities," Berman said. "They include making our current facilities more efficient."
The DM 4 million marked for new production lines in Lubinex, located in Lubin in southwestern Poland, is expected to increase efficiency there by at least 15%. A DM 1 million upgrade slated for Bielsko-Biala-based Bielkan should bring that plant's efficiency up by 25%, Berman said.
Ahlers Poland had 1998 turnover of zl. 34 million ($9.7 million), 70% of which was generated by Pierre Cardin suits and jeans, he said. While Ahlers produces a total of 12 name brands here, Jupiter and Pioneer jeans account for most of the other 30% of the company's turnover, Berman added.
New stations
Max Auto Express, a subsidiary of Makro Cash and Carry Poland, plans to invest up to zl. 35 million ($10 million) this year as it enters new cities across Poland.
"Business is getting better and better," said Pawel Nawrocki, managing director of Max Auto Express. "Our intention is to build between seven and 10 new stations this year."
The Max Auto Express stations provide quick car servicing, ranging from oil and tire changes to brake work and a car wash. The company began investing in Poland 13 months ago and has already plowed zl. 20 million ($5.7 million) into seven service stations throughout the country.
Since the end of 1997, Max Auto Express has started up stations in Warsaw, Lublin, Bydgoszcz, Gdynia, Zabrze, Rybnik and Bielsko-Biala.
This year the company plans to build new stations in Poznan, lodz, Sosnowiec, Szczecin and Bialystok, in addition to a possible second or third station in Warsaw, Nawrocki said. Each new station costs zl. 3 million-zl. 3.5 million ($850,000-$1 million) to build, he added.
"Our general intention is to be present in all big cities," Nawrocki said, adding that most Max Auto Express customers are usually nearby residents.
Max Auto Express has not ruled out future stations along heavily traveled roads, such as the Krakow-Zakopane route. But, Nawrocki said, "Car owners are not ready to travel to service departments outside of the cities."
Max Auto Express will likely place most of its 1999 investments next to Makro Cash and Carry outlets. It is also working out a deal with sibling retailer Metro to build stations there as well, Nawrocki said. There are currently 15 Makro Cash and Carry in Poland. Nawrocki would not disclose company earnings or turnover for the past year. "This is a long-term investment," he said. "Many Polish clients are not used to us. It takes a long time in each location before customers accept us."
But the company is ready to wait for the money to roll in. "We are not disappointed with the results," he added. "Hopefully next year we can speed up this process."
In the next two to three years, Max Auto Express may offer franchises, he said.
Chimney sweep
OPOLE - Schiedel, a Germany-based chimney maker, expects to begin use of its first Polish production facility later this month.
But while the company's first chimneys will come off its Opole line in late January, this will only be a "pilot" batch, said Rudolf Kania, Schiedel's general director here.
"Full production will start this year," Kania said. "We are in the final stages of our start up."
Schiedel has invested zl. 15 million ($4.2 million) in Poland since 1995. When the Opole factory is fully operational, it will have the potential to produce 500,000 meters of chimney material, the equivalent of approximately 50,000 single home chimneys annually, Kania said.
But Schiedel officials said they could not estimate just how much they will be able to sell in the first years of operation, Kania said.
"Before Schiedel, no one in Poland knew of this technology," Kania said. "No market analysis can show what the effects of this new technology will be on the building industry."
