FIJI FURNITURE COMPANY REPORTS OPERATING LOSS

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SUVA. Fiji (Fiji Times, April 2) – Fiji’s leading manufacturer and exporter of palm wood furniture, Pacific Green Limited, has reported a FJ$200,000 [US$122,459] loss.

But management of PGL was adamant that the company's performance was very impressive especially since the company had overcome many difficult situations over the past year.

PGL Chairman, John Holmes said the management had fulfilled its responsibility of establishing the company's position as the pre-eminent palmwood furniture manufacturer in the world.

Mr Holmes said the loss incurred could be attributed to restructuring costs and the closing of the warehousing operations in Australia. He also said other issues like US market development costs affected their financial position.

He said the company's financial performance had to be viewed in harmony with two major advances. "Firstly, there is the consolidations of our strong design, manufacturing, marketing and consumer chain," he said. "This stretches from St Petersburg and all around the Pacific. Secondly, we have established, from the ground up, a world class factory in Dongguan City. This is located perfectly as it enables us to supply consistent quality production at a realistic profit into all our markets," Mr Holmes said.

He also said the fire that destroyed their factory in Sigatoka dealt a major blow to their operations.

Mr Holmes said the closure was a major impediment that affected decisions that included the structure of the subsidiary company in China and the rebuilding in Fiji.

Mr Holmes said while Fiji was the heart of operations, their goal was to develop operations locally to ensure it was able to compete with Asia operations.

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