Parmalat to partially revise 2013 guidance amid lowered expectations for Q4, due partially to substantial increases in raw material costs
December 9, 2013
– Parmalat S.p.A. announces that its Board of Directors, meeting today under the chairmanship of Francesco Tatò, reviewed various issues, including an updated projection of the closing data for the 2013 reporting year.
Lowered expectations for the last quarter of the year caused growth projections for year-end results to be scaled back. The main reasons for this revision include a further and sudden
weakening of demand in many of Parmalat’s markets and the difficulties in transferring to sales prices substantial increases in raw material costs, milk in particular.
In view of the context outlined above, the Board of Directors agreed to partially revise the 2013 guidance: assuming constant exchange rates and scope of consolidation and excluding the impact of hyperinflation, estimates call for EBITDA to grow by about 2% compared with 2012. The earlier projection of a net revenues gain of about 3% is confirmed.
At the same meeting, the Board of Director reviewed authoritative legal opinions confirming that the decree issued by the Court of Parma on November 11, 2013 in the proceedings instituted pursuant to Article 2409 of the Italian Civil Code is not effective while the appeal filed with the relevant Court of Appeals is pending.