Albalact makes smaller profit from dairy on decline of purchasing power

Local dairy maker Albalact saw its net profit decline by 14 percent, to around EUR 580,000, mainly due to the increase in the foreign exchange rate in June, which triggered double financial expenses. “The dairy market goes through a very tough period, due to the dramatic decline of the purchasing power, which puts pressure on prices. We will continue to expand our portfolio, the distribution and the client network and we will have new launches and new promotions,” said Raul Ciurtin, president and general manager of Albalact. The company posted a turnover of around EUR 30 million during this period, which was up 7.5 percent (for the amounts expressed in RON), compared to the first six months in 2009. Albalact is traded on the Bucharest Stock Exchange (symbol ALBZ). The company's shareholders are Petru Ciurtin, Raul Ciurtin, Cyprus – based investment fund RC2 and other smaller shareholders. The company produces dairy under the brands Fulga, Zuzu, De Albalact and Raraul.