EVEN THOUGH THE CERAMIC TILE MARKET IS SHRINKING Cesarom targets a 10% increase in turnover

Cesarom, controlled by Austrian manufacturer Lasselsberger, is expecting its business to increase 10% this year, even as the market is expected to shrink 10%. The press release received by our editors states that in 2009, Cesarom had a consolidated turnover of 35 million Euros (150 million lei). In 2010, the company expects its turnover to rise 10%, to 38.5 million Euros, due to its plan to increase exports. This year it also expects to return to profitability.

According to Mr. Eduard Măcărescu, business director of Cesarom, in 2009 the company had a market of 36%, which it expects to increase to 38% in 2010.

Starting with 2009, Cesarom began exporting to the markets of Greece and Bulgaria, and this year it expects exports to account for 5% of its turnover, compared to 1% last year.

Eduard Măcărescu claims that in 2009, the ceramic tiles market had a volume of 110 million Euros, down 40% YOY. "This year, we hope that the market will only drop 10 percent, to approximately 100 million Euros", Mr. Măcărescu says.

In 2009, the Romanian ceramics market accounted for 25 million square meters, and this year it could reach 23 million square meters. The Cesarom official said that 2010 will see the bottom of the market that his company operates in. "This year"s 10% drop will show that the ceramics market has hit bottom and it has nowhere left to go any lower", the Cesarom official said, who said that he expects the volume of the market in lei to drop 12 to 13 percent.

Eduard Măcărescu expects the market to return to positive territory in 2011 at the earliest.