Leoni Wiring Systems Bistrita, a branch of Germany''s Leoni group which produces wire, cables and electrical wiring systems for the car industry, has reported a 3.5-fold increase in turnover for the first half of the year, with annual turnover expected to be double the level of 2004.
"The performance of financial indicators in 2005 is linked to an increase in orders and our launching the production for new models - the most important of which being the B Klasse Mercedes-Benz for Business Unit Daimler Chrysler," Carmen Marica, senior accountant with Leoni Wiring Systems Bistrita, told ZF Transilvania.
In 2004 the company generated sales of around 31 million euros, with its main customers being DaimlerChrysler and BMW.
"We do not work with final customers: the products we manufacture go first to other companies of the group in Slovakia or Germany," Marica added. Some of the company''s suppliers are also located outside Romania.
Company representatives have forecast turnover of 71 million euros for this year, over 130% higher than in 2004. In the year to the end of August, the plant received investments of over 1.8 million euros, 95% of which went to new production equipment.
Leoni has two production units in Romania - in Arad and Bistrita. It''s facility in Arad has a production area of over 8.5 hectares.
Construction of the plant in Bistrita was completed in 2003, with initial investment in land and buildings exceeding 18 million euros.
"We started with only a few tens of employees, but now we have almost 2,900. We also expect this number to continue to grow in line with the volume of orders we receive," said Marica.
Leoni Wiring Systems Bistrita''s development plans include expanding the company''s portfolio with two new types of products for the Hecklappe-E91 Series 3 BMW model.
Leoni started operating in 1999 by developing its wiring systems plant in Arad. Last year the Arad facility posted turnover in excess of 13 million euros.
Globally, the Leoni group has over 29,000 employees, spread over 80 branches in Europe, Asia, Africa and South America.
The group has three divisions - wire, cable and wiring systems. In Romania it only makes wiring systems.
Company officials have put sales this year at over 1.4 billion euros. The group has a share capital of over 96 million euros. transilvania@zf.ro
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