Ad hoc - FUCHS PETROLUB AG adjusts 2008 forecast
November sales of the worldwide operating FUCHS PETROLUB Group were noticeably below previous expectations. The significant deterioration of worldwide economic conditions and the reduction in customer inventory levels were the key factors. FUCHS expects, that there will be no significant change in this development in December and therefore adjusts its 2008 forecast.
The FUCHS PETROLUB Group considers itself well positioned with regard to its product portfolio. Although our business model is robust, it is not able to escape from the unparalleled slump in demand. Because of the high uncertainty over the next few weeks, it is currently not possible to reliably forecast the fourth quarter profit contribution. Notwithstanding the current economic conditions, the fourth quarter will contribute positively to the profits of 2008. Earnings before interest and taxes (EBIT) for the year 2008 will exceed the EUR144.5 million achieved in the first nine months of 2008. Profit after tax should be around EUR100 million.
The Group intends to maintain dividends at least at the same level as the previous year. Furthermore the investments in our speciality business, in research and development and in selected growth markets will continue as planned. In addition, the almost completed share buy back will be continued. This emphasizes, that FUCHS is planning long term and is confident with regard to its speciality strategy.
At the end of February 2009 the FUCHS Group will report preliminary figures for the year 2008 and will then, like in previous years, provide a forecast on the year 2009.
Mannheim, December 9, 2008
FUCHS PETROLUB AG
Public Relations
Friesenheimer Str. 17
68169 Mannheim
Phone: ++49 (0) 621 3802 – 105
The ad hoc message can also be found on the Internet at www.fuchs-oil.com.
Important note
This ad hoc message contains statements about future development that are based on assumptions and estimates by the management of FUCHS PETROLUB AG. Even if the management is of the opinion that these assumptions and estimates are accurate, future actual developments and future actual results may differ significantly from these assumptions and estimates due to a variety of factors. These factors can include changes to the overall economic climate, changes to exchange rates and interest rates and changes in the lubricants industry. FUCHS PETROLUB AG provides no guarantee that future developments and the results actually achieved in the future will agree with the assumptions and estimates set out in this ad hoc message and assumes no liability for such.