ZURICH Feb 20 Swiss construction materials
group Arbonia Forster announced the surprise departure
of its chief executive and a net loss for 2013, sending its
shares down almost 10 percent on Thursday.
Arbonia Forster, which makes products such as glass for
windows and doors for buildings, posted a net loss of about 42
million Swiss francs ($47 million) for 2013, hit by combined
impairment charges of 73 million francs for a proposed sale of
STI Group and last year's disposal of AFG Kitchens.
Shares in the company were down 9.7 percent at 28.80 Swiss
francs by 0952 GMT, underperforming a Swiss market down
"Although the writedown at STI and the planned disposal were
expected, and hence no big surprise, the departure of the CEO is
discomforting and adds to the general uncertainty surrounding
the stock," Vontobel analyst Patrick Rafaisz said in a note,
confirming his 'hold' rating on the stock.
Arbonia Forster said that the board had decided to hive off
STI Group, which makes cardboard packaging for products such as
Toblerone chocolate and displays for supermarket shelve, after
suffering a 64 million franc depreciation on its real estate and
It said the decision completes the streamlining of its
portfolio over recent years.
The company said that CEO Daniel Frutig had decided to step
down immediately and that Chairman Rudolf Graf would take over
as acting chief executive. It did not give a reason for Frutig's
($1 = 0.8878 Swiss francs)
(Reporting by Silke Koltrowitz; Editing by David Goodman)