Atlas Copco’s Q1 results expected to be in line with 2000
March 20, 2001
Stockholm, Sweden, March 20, 2001 - In a press release today, Atlas Copco’s Rental Service business area announced further rationalizations and a slow start of the year. Giulio Mazzalupi, President and CEO of the Atlas Copco Group says, "Overall for the Group, we anticipate our first quarter result in line with or marginally better than in the first quarter of 2000, including the costs for the planned rationalization in the Rental Service business area."
“The Group sees continued good market demand in many areas and regions. Compressor Technique, Construction and Mining Technique, and Industrial Technique, continue to develop in line with our expectations.” Together, these three business areas account for approximately 70 percent of revenues. The development in the Rental Service business area is below expectations so far this year. “We need forceful actions such as those announced today, to put us back on track. I fully support the management of the business area, the proposed actions, and the structure that they now put in place,” Mazzalupi commented. The Rental Service business area accounts for around 30 percent of the Group’s revenues. Atlas Copco is an international group of industrial companies with its head office in Stockholm, Sweden. In 2000, the Group had revenues of over SEK 46 billion, with 98 percent of revenues outside Sweden, and over 26,000 employees. Atlas Copco companies develop, manufacture, and market industrial and professional tools, compressed air equipment, construction and mining equipment, assembly systems, and offer related service and equipment rental. Additional information about Atlas Copco is available at the Group’s website, www.atlascopco-group.com, which provides access to current news about the Company. Forward-looking statements Some statements herein are forward-looking and the actual outcome could be materially different. In addition to the factors explicitly commented upon, the actual outcome could be materially effected by other factors like for example, the effect of economic conditions, exchange-rate and interest-rate movements, political risks, impact of competing products and their pricing, product development, commercialization and technological difficulties, supply disturbances, and the major customer credit losses. For further information, please contact: Annika Berglund, Senior Vice President, Group Communications, (media) phone +46 8 743 8070, mobile +46 70 322 8070, [email protected] Hans Ola Meyer, CFO, (analysts) Phone +46 8 743 8292, mobile +46 70 588 8292, [email protected]