CHG-MERIDIAN AG
CHG-MERIDIAN AG: CHG-MERIDIAN does more business abroad than in Germany for the first time
– Euro-zone debt crisis curbs lease originations in Germany in first quarter – Steady growth in lease originations abroad offsets decline in German market – Mossakowski says reluctance to invest is extremely risky for companies.
For the first time in its history, technology manager CHG-MERIDIAN based in Weingarten, south-west Germany, has originated more leases abroad than in its home market. Of the new leases totaling EUR191 million that were signed in the first quarter of 2013 (Q1 2012: EUR195 million), EUR103 million were originated in the company’s 18 international markets. The North American market, which accounted for over 60 percent of the growth in new business, emerged as the powerhouse. ‘Lease originations were down by 2.5 percent across the Group in the first quarter, but the fall was kept to a minimum by steady growth in our international business,’ said Jürgen Mossakowski, chairman of CHG-MERIDIAN AG’s management board. ‘By contrast, Germany was down by 10 percent on the prior-year quarter and initial industry trends in Germany indicate that new business was very modest overall. However, it is still too early to draw any conclusions for the remainder of the year.’ Reluctance to invest is risky According to Mossakowski, the euro-zone sovereign debt crisis and the resultant reluctance to invest was also reflected in an unwillingness to replace IT equipment and other high-value technical equipment. Over the long term however, the chairman of the management board said that this might prove to be the wrong strategy: ‘Companies that focus on the latest technology have a competitive advantage. Foregoing it is extremely risky, particularly in an economic slowdown.’ Successful internationalization strategy New IT trend continues Further information can be found at: About CHG-MERIDIAN Matthias Steybe CHG-MERIDIAN AG End of Media Release Issuer: CHG-MERIDIAN AG Key word(s): Finance 02.05.2013 Dissemination of a Press Release, transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP’s Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
209445 02.05.2013 |