Finland and the Baltic States in 2003

SLO maintains its position
In a market that offered no visibility, sales fluctuated wildly from one month to the next throughout 2003. Slow market growth hindered SLO’s development, although sales rose slightly yoy at the beginning of 2003. They increased significantly in August and reached a peak in December, resulting in improvement for the year as a whole.
Despite intense competition and a sluggish market, SLO was able to maintain its market share in Finland and achieve satisfactory earnings.

Economic outlook for Finland
 The Finnish market is expected to resume growth in 2004. A number of large-scale projects are planned for 2005, including construction of Finland’s fifth nuclear power plant and the new Vuosaari harbor in Helsinki. For the time being, however, investment in public infrastructure is at an ebb.

Sonepar Finland in the Baltic States
Sonepar Finland/SLO strengthened its position in the Baltic States with the acquisition of MG Elektro SIA, a Latvian concern that has operations in both Latvia and Lithuania. SLO Eesti AS reported satisfactory earnings.

Comparatively speaking, the Lithuanian economy is the strongest among the Baltic States, followed by Latvia and Estonia. In the spring of 2004, the Baltic States will join the European Union, accelerating economic growth.