Egypt Unrest Drives OCI into $ 76.82 Mln Losses

Orascom Construction Industries (OCIC), which is listed in the Swiss stock Exchange, reported on Friday a full-year net loss of 69.7 million Swiss francs ($ 76.82 million) due to the political unrest in Egypt and elsewhere in the Arab world last year.

The firm, known mostly for building luxury resorts, took extraordinary charges in 2011 of 82.8 million francs, which included provisions, revaluation of investment properties, and legal fees connected to the political events in Egypt.

OCIC made a profit of 94.9 million francs in 2010, after minority interests, as reported by Reuters.

Following the civil uprising that unseated Egypt’s president in February 2011, a slump in investment and legal challenges to state land sales have thrown the real estate sector into turmoil. An exodus of tourists has also made life tough for resort developers.

Leave a comment