DLH Apparently Intends to Separate From American Subsidiary Inter-Continental Hardwoods

The Danish timber supplier group DLH apparently intends to separate from its American subsidiary Inter-Continental Hardwoods. In the current quarterly report for the period from January to March 2012 the company is recorded as a division to be discontinued. For the first quarter a 14% decline in turnover is recorded for the subsidiary to DKK37m. In the same period the EBIT plummeted to DKK1m although just one year previously DKK30m had been recorded. Thus this subsidiary used to contribute the prime share of turnover in the former USA sales region. The remaining activities were attributed to the global sales division, in which the international back to back business for hardwood products and wood-based panels is consolidated. In the course of the go-to-market strategy, which is scheduled to run until 2012, the business has restructured its divisions and reduced their number from six to four. The two previously separate sales regions of central & eastern Europe and Russia have been merged into the expanded region of central Europe & Russia. Source: euwid-wood-products