|
We wish our customers and collaboration partners a really happy 2004 and look forward
to continued solid growth.
For the LBC group, 2003 was rather different from previous years. There was a volume
increase in the distribution of piece goods shipments of up to 5 m³ per consignment,
but at the same time a sharp decline in the flow of raw materials such as polyether,
textiles, frames, etc., to the furniture industry. There was a steep fall of about 25%
in large shared loads, above all of raw materials to industry, and in large shipments
for delivery to various projects. There were increases of about 7% in the distribution
of smaller consignments and in incoming imports. Overall, this resulted in a total decline
in volume of about 5 % in our operations. We can observe a fall in the export of
Swedish made goods for the European market and in imports from former traditional
countries such as Norway, Finland, Denmark, Benelux and Italy. At the same time, we have
noted a substantial increase in imported goods from the former Eastern Bloc countries and
China. There is a very clear trend for goods produced in Sweden and the rest of western
Europe to be faced with keen competition from the former Eastern Bloc countries and China.
Over the year there has been a sharp turnaround in the entire market. Despite this, the
LBC group companies and their subcontractors (the road haulage companies) have managed
relatively well and we are looking forward to a successful 2004.
Our current fuel supplement will remain unchanged into the new year. Unfortunately, the
steep fall in the dollar has not resulted in a corresponding fall in the price of oil,
since taxes and the world market price have counteracted a price drop in other respects.
Thanks to the stronger Swedish krona, the present currency supplement will be adjusted
downwards from 26 January 2004.
GM-ITM AB: In terms of quality, operations over the year have been very satisfactory.
A volume reduction, above all in shipments from Danish suppliers to the Norwegian market, is further
evidence of a change in customers’ purchasing channels. Apart from this, the business is performing
well and we aim to gain further market shares during the year ahead.
Herrljunga Åkeri AB: The extension to the terminal was completed in the first
week of December and operations in the new part are now in full swing. This means improved scope for
our handling and our quality, and enables us to receive an increased volume. There has above all been
a sharp decline in the import of Italian upholstered furniture, but this has been partly offset by
an increase in the import of upholstered furniture from Romania and China, among other countries.
LBC Finland OY: There was a good increase in turnover during the year, thanks to
improved market shares. During 2004 the company will increase its efforts to meet the competition
from the eastern part of Europe.
LBC Sweden AB: The standard of production and quality during 2003 continued to be high.
As already mentioned, customers have made major changes in their purchasing channels, but we have
still been able to safeguard our volumes satisfactorily. The LBC group will be at the furniture trade
fair in China in March, to establish contacts with new markets.
The conversion/extension project was completed on schedule at the beginning of December. Unfortunately,
operations in the new part have not yet started because the floor failed its inspection. The building
contractor hopes that the floor will be completed, re-inspected and approved by all parties by the end
of January or early February. After completion, we shall change some aspects of our production. This
will give us far greater scope to handle increased volumes in the hoped-for improved economic climate.
We look forward to continued good relations with our collaboration partners and customers during 2004.
We look forward to seeing you on our stand at the Stockholm furniture fair in February.
LBC Sweden AB
Hans Hjelmström
Managing Director
|
