Wólczanka clothing concern predicts profits despite posting Q2 loss

Łódź-based clothing producer Wólczanka still plans to post zł.3 million in net profit at the end of the year, which now seems a little over optimistic as the company closed Q2 zł.600,000 in the red. "We have launched very fierce restructuring process, which requires costs negatively influencing the result of the firm," said Wólczanka president Rafał Bauer. He added that the third quarter should be much better, but one should always expect extraordinary costs during restructuring possibly causing more harm to the results. The company decided to stress higher turnover of stock and shutting the least profitable plant in Łódź. Bauer says the sales network is being computerized. "We are opening new outlets, seven in September and a few more by the end of the year," said Bauer. He also added that profit might still be close to zł.3 million in 2004. (Puls Biznesu, pp. 1, 10) M.M.