Belgian Rail subsidises (ABX) logistics
Belgian state railway SNCB is injecting t250m into its struggling logistics and forwarding unit, ABX Logistics.
ABX will not disclose last year ‘s full financial performance until May, but communications director Emile Clemens confirmed to IFW that the group was in the red in 2001.
The cash injection is the main strand of a business plan unveiled by SNCB to quash rumours that ABX will be sold.
The plan sees ABX break even next year and move into profit in 2004, SNCB said in a statement.
ABX’s difficulties stem from an ambitious expansion strategy over the past four years in a bid to become one of Europe’s leading players. Its most recent purchase, Dutch operator Wegtransport, came late last year.
“Our losses centre largely on our German interests, Bahntrans and Dubois, in contrast to the very profitable results turned in by our subsidiaries in Spain and Italy, ” said Clemens.
“There are signs of a brighter outlook in the French market, but in Germany we may have to wait longer for the situation to improve, given the economic climate there.
“In both countries we are confident of turning the situation around.” ABX Logistics, which posted a turnover of t2.9bn in 2000, operates in 36 countries.
Posted: 18/02/2002
IFW
