Affichage sells Hungarian company

The sale is the company's response to the massive decline in advertising expenditure and the tough price war in Hungary, according to a statement from the out-of-home advertising company. The sale will result in a loss, as a consequence of which the Group expects a negative net result for 2009. "Affichage Holding is consistently pursuing its goal of reducing costs and increasing its profitability," said Christian Kauter, Delegate of the Board of Directors and CEO. The sale of the Hungarian holdings will make an important contribution to this. In future, Affichage will focus even more strongly on countries whose markets promise growth and returns.
In the first half of the year, Affichage recorded a slump in profits of a good 60 percent to 5.9 million francs. Sales fell by 22.5 percent to 172.6 million francs.