Business Irish

Saturday 18 November 2017

CRH prepares for eurozone split

CURRENCIES

John Mulligan

John Mulligan

IRISH firm CRH -- one of the world's biggest suppliers of aggregates -- is making preparations for the euro's demise, its chief executive, Myles Lee (right), confirmed.

Mr Lee said that while the prospect of countries leaving the eurozone was "hopefully unthinkable", CRH was preparing for such an eventuality and had plans in place "as any responsible company should".

CRH previously indicated that it was working on strategies to deal with a eurozone break-up.

Mr Lee was speaking in an interview with Bloomberg television yesterday as CRH prepares to shift its primary stockmarket listing to London from Dublin next week.

The company will also be admitted to the FTSE-100 index of companies at the close of business on Friday week.

Mr Lee said that continued uncertainty in Europe had weighed on the company's operations, with a moderation in like-for-like sales growth. He added that while he was hoping that the latest summit of European leaders would deliver a final resolution to the ongoing debt crisis, he was concerned about what a failure to do so would mean.

"We're concerned that if the European authorities don't get ahead of markets on this, that it could have a negative effect on demand in the eurozone in 2012," he said.

Shares in CRH fell 3.4pc yesterday to €13.43.

A raft of other companies around Europe -- including Guinness-maker Diageo and drug giant GlaxoSmithKline -- have already prepared contingency plans that can be implemented in the event of countries exiting the eurozone.

Irish Independent

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