Bridgestone Corporation Announces Revised Financial Projections for Fiscal 2008
Tokyo (December 22, 2008) — Bridgestone Corporation today announced revisions to its consolidated financial projections for the fiscal year ended December 31, 2008. Its original projections were announced on August 8, 2008. Set forth below is a summary of management’s revised projections of consolidated sales and earnings for the fiscal year 2008.
Consolidated Financial Projections (January 1 to December 31, 2008)
(Revised) |
(Original) |
Increase (decrease) |
(Reference) |
||
Net sales |
¥ million |
¥ million |
¥ million |
% |
¥ million |
Operating income |
118,000 |
155,000 |
(37,000) |
(23.9) |
249,961 |
Ordinary income |
64,000 |
117,000 |
(53,000) |
(45.3) |
219,016 |
Net income |
12,000 |
66,000 |
(54,000) |
(81.8) |
131,630 |
The financial crisis that originated in the U.S. has had a tremendous negative impact on the world economy, contributing to the global economic slowdown. Amid such a business environment, management expects consolidated sales and operating income in fiscal year 2008 to decline from the projections announced on August 8, 2008 due in part to decreasing tire unit sales mainly in North America and Europe.
Management also expects a decline in ordinary income and net income from the projections announced on August 8, 2008 due in part to foreign exchange loss from significant exchange fluctuations. Also, an impairment loss, mainly on intangible fixed assets related to the retread business in the Americas, is expected to be recognized due to uncertainties in economic conditions, in addition to the previously mentioned contributors to decreases in sales and operating income.