Gross profit of SPPC decreased by over 50 percent

Accra, Aug. 13, GNA - The gross profit of Super Paper Products Company (SPPC) Limited, decreased from 884,231 Ghana cedis in the year 2007 to 143,782 Ghana cedis in 2008.

Gross revenue also dropped from 3,096,382 Ghana cedis to 3,008,861 Ghana cedis in the year under review.

Mr Seth K. Anatsui, Chairman of the Board of Directors, disclosed this at the company's Annual General Meeting in Accra on Thursday. He said in the first quarter, one of the boilers was damaged and had to be replaced, causing the loss of production during the year, consequently impacting sales.

Mr Anatsui however noted that during the second quarter of the year, production and sales stabilized and in October, it witnessed the highest production of the past five years of 42,000 cartons. He said the devaluation of the dollar against the euro forced management to defer order confirmation of the finishing line to this year, since the Rights Issue money was not enough to purchase the machinery.

Mr Anatsui expressed the hope that with the adoption of prudent measures like conversion of boiler fuel from residual fuel oil to gas early this year, a substantial annual savings of 180,000 Ghana cedis would be realized. No dividend was declared.