Carbo back in black

Press, 29 July 1989, Page 24

Carbo back in black

PA Auckland Carborundum Abrasives, which reported a $5.6 million loss in the year ended March 31, has since traded profitably and directors are confident the trend will continue. The company chairman, Mr Murray Tanner, told yesterday’s annual meeting of shareholders that exclusive distribution rights had been acquired

for “Manco” tapes in New Zealand and Australia during the year. The directors believed that product would benefit profitability. A distribution agreement had recently been put in place which would result in the establishment of a number of further outlets, initially in the north of the North Island and produce a healthy sales boost. He said Carborundum was moving to establish a base in Australia where directors saw great sales potential in abrasives and “Manco” tapes. A considerable amount of research had been done and directors were satisfied that even a relatively small market share would enhance profitability considerably. “The over-all outlook for the company is, therefore, encouraging and leads directors to the conclusion that the forthcoming year should produce a healthy profit, provided we are able within a reasonable period to dispose of enough of our properties to significantly lower our debt level,” Mr Tanner said-.