SIMONA Sees Significant Growth

Benefiting from a resurgent economy, particularly in the area of mechanical engineering, automotive and chemicals, the SIMONA Group recorded a significant increase in sales volume over the course of the first half of 2010. After a relatively sluggish start to the year, the Group was able to achieve double-digit growth from March 2010 onward. In total, revenue amounted to €129.7 million (prev. year: €106.3 million), which corresponds to year-on-year growth of 22 per cent.

As of June 2010, EBIT stood at €6.1 million, up 73 per cent on the same period a year ago. Owing to the spiraling prices for polyethylene (PE) and polypropylene (PP), however, margins declined over the same period. The growth in earnings is attributable, among other things, to a more expansive volume of business and the continuing commitment to cost streamlining, which resulted in a €3.6 million reduction in operating expenses.

The economic climate improved considerably for SIMONA, particularly in Asia. At the same time, both the plant engineering sector and the chemical industry in Germany showed encouraging signs of improvement. All sales regions served by the SIMONA Group achieved double-figure growth, with "Asia, the Americas and Australia" proving by far the most buoyant. "The official inauguration of our new Chinese plant in April 2010 serves as evidence that we are on the right track. Operating with our own local production facility, we are able to support our customers' regional growth more effectively and with greater speed and flexibility," says Wolfgang Moyses, CEO of SIMONA AG.

For more information, contact John Ploskonka, Simona America Inc., 64 N. Conahan Drive, Hazleton PA 18201, 866-501-2992, Fax: 800-522-4857, E-mail: mail@simonaamerica.com, Web: www.simonaamerica. com.