Depreciation of the leu drives up Grampet expenses by 10%

Grampet operates in the railroad sector, through local companies Grup Feroviar Roman (GFR), Remas Pascani and Reva Simeria. It also owns companies in Bulgaria, Hungary, Serbia, Montenegro and Ukraine.

According to Stoica, profits will decline in 2009 and players in the field will have to make plans based on international conditions. “We will re-analyze the development plan by the end of the month. For the time being, I am not considering acquisitions in the region,” he added.

The Russia-Ukraine dispute over gas prices, which prompted Russia to suspend gas deliveries to Europe, has affected the company’s operations, as production was halted at a rolling stock factory in Serbia. “I hope to resume production as soon as possible. It all depends on what happens at the international level. If we have production, we have materials to transport,” Stoica said.

At the end of 2008, the businessman was expecting to double contracts for the Serbian factory in 2009, up to €16 million. As for the group’s turnover, Stoica expects stagnation. For 2008, business was estimated at some €350 million, 30 percent higher year-on-year.

On the local market, goods transportation company GFR’s main competitors are state-owned CFR Marfa and private companies Servtrans and Unifertrans.