Iskra expects 30% lower sales in 2009

Despite the reduced sales in the last quarter, the group performed well and increased sales and profitability in comparison to the year 2007. Iskra Avtoelektrika's management board has been adjusting its operations to the address the reduced sales volume since the last quarter of 2008. "At this time we expect the sales to be lower by ca. 30% compared to last year, but we expect that by successful implementation of appropriate measures Iskra Avtoelektrika will operate with a positive cash flow in spite of the uncertain conditions in the business and financial markets", the company said in a statement. Iskra has already introduced a 36-hour working week, which led to over 300 lay-offs of temporary workers, but almost 600 further lay-offs are planned until August. The company has also stopped all new investments, except for projects already under way and key development projects.