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<span style="font-weight: bold">News Source: OTGNR - </span>
<span style="font-weight: bold"> Carib Cement losses pass billion dollar mark ( RJR )...</span>
Caribbean Cement Company's financial woes have worsened with its losses bursting past the billion dollar mark. The company's balance sheet for the nine month period January to September show it racked up a net loss of $1.1 billion.This was a dramatic plunge from the $75 million loss suffered during the corresponding period last year.During the third quarter Caribbean Cement suffered a $925 million deficit.This was largely due to the shutdown of the new Kiln for 40 days during August and September, a $300 million reduction in domestic sales revenues and costs associated with a staff rationalisation programme.This was compounded by a further plunge in the domestic market for cement, which has declined by approximately 31% over the last three years. Banking on gov't projectsIn the meantime, despite its worsening financial position Caribbean Cement is keeping its fingers crossed that infrastructural projects to be undertaken by the Ministry of Works over the next six months will lead to a rebound in sales.The company says there has been some recovery in cement sales in the fourth quarter.At the same time it remains cautious in regard to a pick in the domestic demand for cement on the basis that Jamaica's economic recovery is influenced by international factors. Foreign hopeCaribbean Cement is also exploring additional revenue generation initiatives.It has initiated discussions for the supply of significant volumes to a South American country.This will improve its asset utilisation and restore reasonable returns.Negotiations are said to be at a sensitive stage but the cement manufacturer expects to be supplying this new market within the first quarter of 2011.
<span style="font-weight: bold"> Carib Cement losses pass billion dollar mark ( RJR )...</span>
Caribbean Cement Company's financial woes have worsened with its losses bursting past the billion dollar mark. The company's balance sheet for the nine month period January to September show it racked up a net loss of $1.1 billion.This was a dramatic plunge from the $75 million loss suffered during the corresponding period last year.During the third quarter Caribbean Cement suffered a $925 million deficit.This was largely due to the shutdown of the new Kiln for 40 days during August and September, a $300 million reduction in domestic sales revenues and costs associated with a staff rationalisation programme.This was compounded by a further plunge in the domestic market for cement, which has declined by approximately 31% over the last three years. Banking on gov't projectsIn the meantime, despite its worsening financial position Caribbean Cement is keeping its fingers crossed that infrastructural projects to be undertaken by the Ministry of Works over the next six months will lead to a rebound in sales.The company says there has been some recovery in cement sales in the fourth quarter.At the same time it remains cautious in regard to a pick in the domestic demand for cement on the basis that Jamaica's economic recovery is influenced by international factors. Foreign hopeCaribbean Cement is also exploring additional revenue generation initiatives.It has initiated discussions for the supply of significant volumes to a South American country.This will improve its asset utilisation and restore reasonable returns.Negotiations are said to be at a sensitive stage but the cement manufacturer expects to be supplying this new market within the first quarter of 2011.