Turkish automaker Tofas is sticking to its 2009 investment plan ,its CEO has said.
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Zaman newspaper quoted chief executive Ali Pandir, who heads the joint venture between Fiat and Koc Holding, as saying the firm will stick with its EUR290m (US$365m) investment plan for this year.
Tofas expects to suffer less compared to rivals this year despite a fall in demand for cars, Pandir said, according to Reuters. It posted lower than expected net profit in 2008 as demand declined.
Tofas halted production for three weeks in December as demand for cars tumbled at home and abroad during the global economic downturn.
Production slumped 66% in January, data showed.
Pandir said the company had signed procurement deals with parent company Fiat, providing purchase guarantees for Tofas despite a slump in sales.
The company will push through its investment plans thanks to a EUR450m syndicated loan deal signed in March 2008, he said, according to Reuters.
