Annual Report 2002 - Fiskars Corporation

12Inha WorksVesaKoivulaInha Works manufactures Buster aluminum boats, hinges tothe door and window industry, special-purpose radiators andrail fasteners. The principal markets are Finland, otherNordic countries and Eastern Europe.The production enhancements and investments implementedduring the previous year were taken into use in2002. This was particularly challenging for the operationsand caused some delays in production.Moderate demand for motorboats continued in the mainmarket areas Finland and Scandinavia. Sales picked uptowards the end of the year in all markets and reached ahigher volume than the year before. Growth was relativelystrongest in Russia and Germany.The Buster range includes seven basic models that providesolutions for leisure boating and professional applications.The new Magnum Buster, introduced in 2001, gainedwide popularity and its sales exceeded all expectations.Inha Works continues its energetic product development andquality improvement program, consolidating the position ofBuster boats as the European market leader.Recession in the domestic construction industry prevailed,and sales of hinges remained flat on the previousyear. The strong export activity slowed down, althoughexports to Estonia, Russia and Poland grew significantly. Therefining level of hinges is being further improved as a resultof product development cooperation with customers.Patented models are growing in importance as competitionfrom countries of low production costs increases. Extensiveexports and patented proprietary hinge brands, togetherwith production rationalization have strengthened our positionas the leading Nordic supplier of hinges.The Formaterm radiator range has been renewed andcontinues to offer practical concepts for heating and dryingof humid rooms. Thanks to their modern design they areideal for demanding interiors.Rail fasteners, which represent the traditional steel processingexpertise of Inha Works, are sold to the Nordic railwaysunder long-term supply agreements.KEY INDICATORS M€ 2002 2001Net sales 23 22- of which outside Finland 43% 41%Share of total net sales 3% 3%Operating profit 2 3Personnel 198 190NET SALES BY MARKET AREAFinland 57%Scandinavia 32%Other 11%