SALZGITTER (dpa-AFX) - German steel producer Salzgitter (SZGPF.PK, SZGPY.PK) said that it now expects pre-tax loss for fiscal year 2019, citing increased risk provision ahead of an expected cartel fine.
'Along with other companies, Salzgitter AG is the subject of investigations on the grounds of suspected cartel arrangements regarding heavy plate and strip steel products. Given the advanced stage of discussions with the German Federal Cartel Office, Salzgitter AG assumes that the procedure can be brought to an end in the near future in mutual agreement,' Salzgitter said.
The company said it will increase risk provisions by about 140 million euros as of September 30, 2019.
The company now anticipates a pre-tax loss in the mid double-digit million euro range for the financial year 2019. It previously expected pre-tax profit (EBT) of 125 million to 175 million euros.
Copyright RTT News/dpa-AFX
© 2019 AFX News
