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AGROKOR MARKS RECORD RESULTS IN 2001

ZAGREB, April 24 (Hina) - During last year the Agrokor concern invested more than DM100 million into growth programmes and employed 1,000 workers. The total revenue of all sections of the concern amounted to 4.75 billion kuna, with a net profit of 98.4 million kuna. This places Agrokor among the largest companies in Croatia, the concern's chairman of the board, Ivica Todoric, said on Wednesday.
ZAGREB, April 24 (Hina) - During last year the Agrokor concern invested more than DM100 million into growth programmes and employed 1,000 workers. The total revenue of all sections of the concern amounted to 4.75 billion kuna, with a net profit of 98.4 million kuna. This places Agrokor among the largest companies in Croatia, the concern's chairman of the board, Ivica Todoric, said on Wednesday. #L# All companies in the concern have realised their business plans. Despite the opening up of the Croatian market to foreign products and the huge foreign competition, all companies in the food sector - including Jamnica mineral water, Ledo ice-cream, and Zvijezda oil - have increased their market shares. For example, Ledo's market share is 74 percent, Zvijezda's 58 percent, while Jamnica has a 82 percent market share, which makes it the leader among mineral water producers, he said. Significant results were achieved in retail sales as well, said Todoric. Konzum supermarkets expanded their business to virtually all parts of the country and increased their market share by 20 percent. Todoric explained that the success in Agrokor's business in 2001 was enhanced with significant investments in previous years. By investing 1.8 billion kuna in development and modernisation in the previous seven years, the concern has become one of the largest investors in Croatia. Last year, Agrokor's investments reached 370 million kuna, which is an increase of 37 percent in relation to the year before. Agrokor, its representatives say, is the largest Croatian investor in neighbouring Bosnia-Herzegovina, where Ledo, Jamnica and Zvijezda have become market leaders. At the beginning of the year, Agrokor released its first corporate bonds on the Luxembourg Stock Market with a value of EUR130 million. The funds collected were used to repay an earlier syndicated loan granted by a concern of banks headed by the EBRD. Agrokor's strategic direction, Todoric said, is to continue developing those activities in which it can maintain its leading role, to expand its product lines and increase its market shares in the food and retail sector, as well as to increase imports and strengthen its position in the region, thus becoming a leading regional company. The company is planning a revenue growth of 22 percent and an increase in profits of 70 percent. Agrokor wishes to be present in the region and its primary interests lie in Slovenia, Hungary, Austria and Serbia, Todoric said. He believes that in the near future, the regional producers of certain products, such as oil and ice-cream, will merge. Asked about the chances for the concern to buy a 51 percent share in Croatia Insurance, Todoric answered that insurance was a good and profitable business. He believes that of the five companies short- listed to purchase the insurance company, his concern would be chosen as the best bidder. (1 EUR = 7.37 kuna) (hina) sp sb

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