U.S. News

Schindler Says Full-Year Net Income Rose


Schindler Holding, a Swiss elevator maker fined by the EU last week for taking part in a cartel, said Monday that full-year net income rose 29% as the company boosted sales of elevators and escalators.

The fine of 144 million euros ($189.3 million), which the company is appealing, will be booked in this year's results, the company said.

For the year ending Dec. 31, net income rose to 488 million Swiss francs ($396.2 million; 300.7 million euros) from 377 million Swiss francs the year before, the company said in a statement. Revenue rose 25% to 11.11 billion Swiss francs ($9 billion; 6.8 billion euros).

"The Schindler group's strong growth was partly due to the large volume of sales in the elevators and escalators business and partly to the pro rata consolidation of the Finnish company GNT Holding," the company said in a statement.

Net profit at the company's logistics business was 12 million francs, below expectations due to a loss in the GNT group in 2006.

Schindler shares dropped 7.1% to 79.60 francs ($64.62; 49.05 euros).

European Union regulators slapped last week their largest price-fixing fine ever -- 992 million euros ($1.3 billion) -- on five elevator makers for operating cartels for the installation and maintenance of lifts and escalators in Germany, Belgium, Luxembourg and the Netherlands.

German conglomerate ThyssenKrupp was given the largest fine, over 479 million euros ($630 million). Others fined were Finland's Kone, United Technologies' unit Otis Elevator of the United States and subsidiaries of Japan's Mitsubishi Elevator Europe.