ROYAL NEDLLOYD EXPECTS PROFIT TO REMAIN STABLE

ROYAL NEDLLOYD EXPECTS PROFIT TO REMAIN STABLE

Royal Nedlloyd Group NV is relying on rationalization and asset sales to maintain its forecast profit for this year in the face of lagging profit from container transport, the global shipping and distribution company said Wednesday.

In a statement issued at its annual general meeting of shareholders, the parent of Nedlloyd Lines BV said it expects to make about the same amount of profit this year as it did in 1989.Despite higher than expected interest expenses and worse than expected results from container logistic activities, "for 1990 as a whole a result on the order of 146 million guilders ($77.2 million) is expected to be realized," Nedlloyd said. That equals the profit for 1989 after tax and extraordinary items, the company said.

Nedlloyd also said that weakness in the U.S. dollar this year will hurt its results in the first half.