Tatmetal is in service that the field of automotive supply industry, machine, building sector, lift, heating and cooling, panel radiator and the equipment that is needed in the industry of furniture and white appliances with high quality. The sheet iron necessities of the customers are supplied from internal and external suppliers and Tatmetal stocks up these necessities in it’s storages in Steel Service Center. After that; in the direction of the customers, inclusive of the given deadline the cutback or slicing of length is made and delivered to the addresses. Tatmetal that prioritise the quality and customer satisfaction in the Steel Service Center, aim make a huge contribution to the economy with the galvanize investment. The Board Chairman of Mr. Akın Tatoğlu replied our questions and shared his ideas with us.
We are in the last quarter of 2008 that the economical crisis and political contentions and uncertainty are existing prominently. For Tat Metal, how was 2008?
I can say openly that 2008 was a good year for Tat Metal. In this year, Tat Metal completed cold rolling investment that have 300.000 tons capacity and started the production. A great majority of our Galvanization Line which has 300.000 tons capacity is completed and we aimed that the production in March of 2009. With the effect of the global crisis, our profit decline 10 but after all, the profit rate is much more than the last year about 15. With our new investments, our customer portfolio increased and the new market segments are created.
The significant uncertainties were subsisted in the iron & steel prices in 2008. How the fluctuations in prices reflect the sector and Tat Metal?
The prices of iron & steel flat products increased since the Christmas of 2008 and in the same year its rate declined to the rate before the Christmas due to the crisis. The sector made a good profit in the half of the year. However with the decline of demand, all of the world iron & steel sector had to impose restriction to the productions. Our company moved in the right time and with the stock management, it acquired the minimum cost. On yearly basis, our mixed costs were lower and this situation gained advantage to us, so we completed 2008 with profit.
Which sectors do you close the sale generally? Did the fluctuations of the markets effect Tat Metal?
We sell all sectors that use flat metal. Our rich product range gain advantage that to be effected less than the other sectors. As I said before, the global economical crisis caused the deprediation that only 10. But if we consider that the huge damage of other sectors and firms, the deprediation of 10 is not unacceptable.
Some economists said that the global economical crisis just starts; on the other hand the others said that the markets will be turning to normal situation about 2009 summer. How do you explicate this situation?
Turning to normalize will change sector to sector. For improvement to the markets, the ambiguity ambiance should be declined and the labors should be done for production and consumption. We expect that the iron & steel sector will amend in the first quarter of 2009. After the shock of the crisis, we see the demand for steel at the least. We make the plans in terms of this demand and we make an endeavour to activate the galvanization facility in the march of 2009.
What are your recommendations to your colleagues? How they should direct this crisis?
I recommend them to protect the benefits of our country, providing the iron need from each other and from Erdemir to prevent outflow of currency. We believe that the companies of the sector get over the difficult periods in the consequence of this solidarity. To perform the stipulations is extremely important in terms of the continuity of the credibility and also the sources and the liquidity are important.
What do you think about the current situations and the future of our steel centers? Do you think that this market will continue to develop?
When we look at the number of the steel company in our country with the approach of steel service center and their capacities, we see that the levels are lower than the European companies. The service center market that is bridge between Erdemir and last user will continue to develop.
What do you say about your market share, competitive capacity and different sides of your company?
Our market share resume increased trend in the direction of our new investments and our product range. We give the service of all the country in terms of whole product range of flat products. We give extremely importance to give service in time. Beside these, our biggest advantage is, we support our service center with the production of cold production. Our galvanized sac production facility will offer an inside into the market. We aimed that to protect the confidence of our customers and increase the quality of our service quality and the capacity.
What are your projects in a short and long time?
First of all we want to activate our galvanized facility in the march of 2009. We resume the contacts with the companies about the production of colored sheet iron and we aimed that complete it at the third quarter of 2009. Beside these, we bought a land to establish third service center at the boundary of Yalova Orhangazi district. In the future we planned give service for the automation sector with this facility. Finally, we hope that our country and the reel sector have an open view.
