The shock resignation came as the company reported a 20% year-on-year decline in its total order intake for 2008 and a total pre-tax loss of €85m (A$164m), citing a “collapse in global demand”.

To mitigate the fall in orders, which were announced in its preliminary results for 2008, the company said that “a substantial capacity cut” was required and said it would cut around 800 jobs – equivalent to around 10% of its workforce.

However, the web and special press division posted a “sizeable profit” of more than €100m (A$193m). This was offset though by the €180m loss in its sheetfed business. Overall revenue fell by 10% to €1.5bn (A$2.9bn).

Helge Hansen, chief financial officer since February this year, has been appointed as Bolza-Schünemann’s successor both as president and as head of human resources in Radebeul.

KBA chairman Dieter Rampl thanked Bolza-Schünemann for his contribution to the company and said: “In a hostile economic climate such as this, when top managers’ sense of responsibility is a matter of heated public debate, we accept your decision with the greatest respect.”

Knapp said it was appropriate that the new cheif executive came from a financial background in order to drive the business forward in the current economic climate.

Press manufacturers have faced numerous challenges selling costly, longterm investment products in a market plagued by falling revenues and contricted access to finance.

KBA said that it anticipated a further 20% decline in sales but added that it expected to post a “balanced result” for 2009.

Read the original article at www.printweek.com.

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