Egypt’s state-owned Holding Company for Engineering Industries (HCEI) recently announced that its 12 subsidiaries had experienced losses totaling 218 million Egyptian pounds ($48 million) during the year 2001, down 28 percent from the EP305 million losses incurred by the affiliate companies in the previous year of 2000, reported Al-Gomhuria .
HCEI Chief Executive Ibrahim Subaay stated that only four out of the company’s 12 subsidiaries reported profits during the year 2001, while the rest experienced losses. The profit bearing subsidiaries were the Automobile Industry Company, Cairo Mineral Resorts, Sabi and Yayat.
Subaay added that HCEI managed to minimize its production costs in 2001, reducing expenses by EP40 million (eight million dollars). This saving was achieved by cutting back on manufacturing, service, marketing and administrative costs.
Subaay added that HCEI’s privatization program resulted in revenues of EP 49 million, following the sale of three of the company’s ailing subsidiaries: the Alexandria Mineral Resort in Nozha, the Steel Factory in Embaba and the Philips Refrigerators Factory in Borg-Arab. — (menareport.com)
© 2001 Mena Report (www.menareport.com)
