Pergo's Sales Down

Trelleborg, Sweden, Oct. 28--Net sales during the first three quarters amounted to MSEK 2,464 (2,760), a reduction of 9% compared to previous year, excluding currency effects. The decline was due to lower prices on the North American market as well as a drop in volumes on the European market. Pergo has, according to plan, ceased to deliver low price products to IKEA. Sales during the third quarter amounted to MSEK 724 (904), a decrease of 8% compared to the third quarter a year earlier, excluding currency effects. The lower net sales were largely explained by the termination of deliveries to IKEA. Excluding currency effects, net sales on the North American market remained on the same level as the third quarter last year. Gross profit margin the first three quarters of the year was 21.6%, which is 1.2% lower compared to previous year. The lower margin was largely due to the fact that the action program could not fully offset lower prices nor higher.