Pfleiderer Earnings Rise Despite Pergo Costs

Neumarkt, Germany, February 21, 2008--Pfleiderer AG, parent of Pergo, said full-year profit rose 19 percent on lower taxes.

Profit after tax rose to$117.3 million The tax rate fell to 12 percent due to deferred tax income and losses carried forward, Pfleiderer said.

Pfleiderer's profit has been hurt by costs to integrate the $3.64 billion acquisition of laminate maker Pergo, which made Pfleiderer the top laminate flooring company in North America.

Sales rose 27 percent to 1.8 billion euros, just short of Pfleiderer's 1.9 billion-euro target, due to exchange rates.

CEO Hans Overdiek said first-quarter earnings will be much better than a year ago.

Last month JPMorgan Chase and Co.'s buyout unit, One Equity Partners LLC, took a 15 percent stake in Pfleiderer, and Overdiek expects the company will increase its investment.