Petsas: Interim Management Statement
17/11/2008 8:16
At the meeting held on November 6, 2008, the Board of Directors examined and approved the Second Interim Management Statement of Andreas Petsas and Sons Public Ltd for the period ending December 31, 2008:
First Interim Management Statement – Introduction
The Board of Directors of Andreas Petsas & Sons Public Ltd presents the Interim Management Statement for the period from June 1 to November 6, 2008, which has been prepared pursuant to the provisions of Article 11 of the Transparency Requirements Law 2007 and has not been audited by the external auditors of the Company.
Main activities
The Group’s activities have not changed and focus on:
1. Car rental, 2. Car trading, 3. Offer for charter of Petsas I for tourist purposes, 4. Transfer of passengers with taxis and buses. In the sector of taxis and buses the Company continues its effort to reduce its activities.
Review of the financial condition of the Group
The turnover of the Group during the period has increased slightly in the sector of car rental and has dropped 46% in taxes and has increased 44% in buses due to the revision of the prices in the existing contracts. The Company continues to enforce the plan for the drop of activities in the loss making sector of taxis.
Traditionally, the Group’s turnover shows significant increase in the second half of the year due to the seasonality of the tourist activities. It is expected that the results for 2008 will remain at the same level as last year. For 2009, the world economic crisis is expected to affect slightly the turnover.
Non-recurrent or extraordinary activities
On October 15, 2008, the Company submitted an application for its delisting from the CSE. In a letter dated October 27, 2008, the CSE announced its decision that that the titles of Andreas Petsas and Sons Public Ltd will continue trading in the Special Characteristics Market pursuant to the provision 2.2.3 (a) of KPD 596/2005 concerning the failure to abide by the constant obligations of the Market that the Company is listed in. The CSE also noted that the delisting of the Company’s titles requires SEC’s agreement.
On July 23, 2008, the signing of the contract between Hermes Airports Ltd and Andreas Petsas & Sons Ltd for the keeping of the car rental offices at Larnaca and Paphos Airports until December 31, 2011 was finalized. The contract provides for the drop in the number of car rental companies in the airports from 9 to 6 from November 17, 2008. There were no other non-recurrent or extraordinary activities during the period.
Risks and uncertainties
The world economic crisis is expected to affect the tourist industry in 2009, as well as the sector of car rental. It is probably too early to evaluate the contribution of the Extraordinary Action Plan that the Republic has planned to ease the crisis and to support the tourist industry but even if those measures minimize the negative impacts on the income of the car rental companies, there will be no full recovery. Despite the fact that the first references by the London International Tourist Fair for the British tourist arrivals in 2009 do not encourage the thought that the car rental sector will remain unaffected by the downturn in tourist arrivals.
Main facts
There were no significant facts affecting the positively or negatively the financial statements of the Company and its subsidiaries during the period.
Transactions of associated persons
There were no significant transactions of associated persons during the period, apart from employment contracts of the Board members.
Targets and Prospects
Apart from the competitive tourist destinations such as Egypt, Turkey and other Mediterranean countries, the world economic crisis will affect negatively the car rental sector in the next few months and 2009. It is expected that the measures for the support of the tourist industry, as included in the Extraordinary Plan, will moderate the negative impact on the tourist sector.
Within the framework of the general developments, it is expected that the economic results for 2009 will be possibly negative compared to the corresponding results of 2008.
First Interim Management Statement – Introduction
The Board of Directors of Andreas Petsas & Sons Public Ltd presents the Interim Management Statement for the period from June 1 to November 6, 2008, which has been prepared pursuant to the provisions of Article 11 of the Transparency Requirements Law 2007 and has not been audited by the external auditors of the Company.
Main activities
The Group’s activities have not changed and focus on:
1. Car rental, 2. Car trading, 3. Offer for charter of Petsas I for tourist purposes, 4. Transfer of passengers with taxis and buses. In the sector of taxis and buses the Company continues its effort to reduce its activities.
Review of the financial condition of the Group
The turnover of the Group during the period has increased slightly in the sector of car rental and has dropped 46% in taxes and has increased 44% in buses due to the revision of the prices in the existing contracts. The Company continues to enforce the plan for the drop of activities in the loss making sector of taxis.
Traditionally, the Group’s turnover shows significant increase in the second half of the year due to the seasonality of the tourist activities. It is expected that the results for 2008 will remain at the same level as last year. For 2009, the world economic crisis is expected to affect slightly the turnover.
Non-recurrent or extraordinary activities
On October 15, 2008, the Company submitted an application for its delisting from the CSE. In a letter dated October 27, 2008, the CSE announced its decision that that the titles of Andreas Petsas and Sons Public Ltd will continue trading in the Special Characteristics Market pursuant to the provision 2.2.3 (a) of KPD 596/2005 concerning the failure to abide by the constant obligations of the Market that the Company is listed in. The CSE also noted that the delisting of the Company’s titles requires SEC’s agreement.
On July 23, 2008, the signing of the contract between Hermes Airports Ltd and Andreas Petsas & Sons Ltd for the keeping of the car rental offices at Larnaca and Paphos Airports until December 31, 2011 was finalized. The contract provides for the drop in the number of car rental companies in the airports from 9 to 6 from November 17, 2008. There were no other non-recurrent or extraordinary activities during the period.
Risks and uncertainties
The world economic crisis is expected to affect the tourist industry in 2009, as well as the sector of car rental. It is probably too early to evaluate the contribution of the Extraordinary Action Plan that the Republic has planned to ease the crisis and to support the tourist industry but even if those measures minimize the negative impacts on the income of the car rental companies, there will be no full recovery. Despite the fact that the first references by the London International Tourist Fair for the British tourist arrivals in 2009 do not encourage the thought that the car rental sector will remain unaffected by the downturn in tourist arrivals.
Main facts
There were no significant facts affecting the positively or negatively the financial statements of the Company and its subsidiaries during the period.
Transactions of associated persons
There were no significant transactions of associated persons during the period, apart from employment contracts of the Board members.
Targets and Prospects
Apart from the competitive tourist destinations such as Egypt, Turkey and other Mediterranean countries, the world economic crisis will affect negatively the car rental sector in the next few months and 2009. It is expected that the measures for the support of the tourist industry, as included in the Extraordinary Plan, will moderate the negative impact on the tourist sector.
Within the framework of the general developments, it is expected that the economic results for 2009 will be possibly negative compared to the corresponding results of 2008.
