SanomaWSOY disclosed its divisional economic targets during its Capital Market Day organized in Helsinki today. The Group's goal is to achieve an average operating profit of 9% in 2002 - 2005. According to President Hannu Syrjänen who presented the goals, the average targets for operating profit in 2002 - 2005 are: 12.5% for Sanoma, 9% for Sanoma Magazines, 0% for SWelcom, 12.5% for WSOY, and 5.5% for Rautakirja. "The net debt to EBITDA ratio will be 2.5 - 3 by the end of 2002, " Mr. Syrjänen said. Midterm target for equity ratio is 50%.
"Improved profitability, efficient exploitation of growth potential, lighter balance sheet structure, securing the integration of Sanoma Magazines, and divestment of non-core assets are some of the items on the President's target list. Examples of such non-core assets are the British BEAP, which publishes crossword puzzles, Rautakirja's Pizza Hut and certain minority interests, such as Savon Mediat where the Group's shareholding was decreased to 14.46% in November," Mr. Syrjänen mentioned.
SanomaWSOY intends to create a balanced portfolio of operations, both in terms of businesses and markets, and to be the market leader in its chosen markets and business areas. Another objective of the Group is to create at least two strong, international business areas. "Our new operating potential lies on emerging markets, such as Croatia, and includes totally new initiatives for example in Russia, as well as acquisitions, alliances and other cooperation concepts, " Mr. Syrjänen says.
"Our goal is to be the leading media company in our chosen markets, the most attractive alternative and the number one choice of customers, investors and other cooperation partners, " said the Chairman of the Board Mr. Jaakko Rauramo in his address.
More than 30 analysts attended the second Capital Markets Day organized by SanomaWSOY. The slides presented during the day are available on www.sanomawsoy.fi in Finnish and English. English-language recordings of the seminar will be published in Internet on March 19th.
SANOMAWSOY CORPORATION
Raija Kariola
Vice President
Investor Relations and Group Communications
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Helsinki Exchanges
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