New takeovers by "Gorenje" next year

Slovenian manufacturer of household appliances "Gorenje" plans to start search for companies – potential takeover targets in 2006 - said the president of this group Franjo Bobinac.

He also announced that "Gorenje" would soon open logistic center and office in Bulgaria, as well as discount retail center in Belgrade.

"Gorenje" would open new production unit for production of refrigerators and freezers in Valjevo in Autumn 2005, announced Bobinac and added that that factory would be producing 35% of all refrigerators of make “Gorenje” until 2010.

The first man of this successful Slovenian company said that €16.69m would be invested in the construction of factory in Valjevo, which would employ 200 people and realize annual incomes of €45-50m.

"Gorenje" group plans to open office in Dubai, which will cover the markets of Near and Far East. It is also expected that the recently opened office in China will start to buy parts for appliances of make "Gorenje".

Bobinac supported the decision made by Slovenian Government to gradually reduce taxes on salaries until they are completely cancelled in 2009, since "Gorenje" annually spends €3.75m on these taxes, which is one fourth of the incomes of this company.

During the first quarter of this year, company "Gorenje" realized consolidated net incomes from sale in amount of €739.6m, which is 14.8% more than in the same period last year.