Jefferson Smurfit profits dip as merger talks go on

JEFFERSON Smurfit Group, which has announced it has engaged in merger talks with rival packaging group, Kappa Packaging, yesterday reported a fall of 11% in first quarter pre-tax profits.

In its statement the group blamed difficult trading conditions in the European market for the profit dip.

Reflecting the weaker state of the European economy, sales fell 3% in the period to €1.04 billion compared to the first quarter in 2004.