VÍTKOVICE STEEL - THE OPTIMISTIC FORECASTS FOR THE YEAR 2004 WERE EXCEEDED

Interest in the rolled products of VÍTKOVICE STEEL, a. s. occasionally exceeded the company’s capacities in the first half of 2004. The extraordinary market situation directly formed the economic results, when the value of revenues from the company’s own products achieved a sum of 5 512 799 ths. CZK in the first six months of 2004, rising 22.4% compared to 1H2003.

Revenues were influenced positively by the newly realized commercial activities, focused on the development of contacts with domestic customers and foreign strategic partners.

“The company’s success and development is further confirmed by the growth of added value. In the first six months of this year, added value increased by 52.7%,” informs Radim Valas, Financial Director of VÍTKOVICE STEEL, a. s. “We have managed to overcome the strong internal and external competition and the rapidly rising prices of input resources and materials. This is due primarily to the permanent efforts to reduce costs, raise the time efficiency of aggregates and flexible business activities,” adds R. Valas.

The company VÍTKOVICE STEEL, a. s. is a producer of steel and rolled products (heavy plates, heavy and medium profiles, cut shapes). In the area of heavy plates, it is among the most important producers in Europe, and the only manufacturer in the Czech Republic. The prospective portfolio is supplemented by sheet piles. On the domestic market, VÍTKOVICE STEEL is their exclusive producer, and a part of the production is designated for export. The company realizes its production and business activities within a special tolling system with its partner OSINEK, a.s. Tolling cooperation was established on 1 April 2000.