Property group Dunloe Ewart said today it incurred a loss before tax of €13.4 million in 2001 compared to a profit of €9 million a year earlier.
The loss before tax includes exceptional costs of €22 million. These costs comprise of a €15.4 million write-down in the carrying cost of certain development stock, repayment penalties and similar costs of €5.3 million associated with the early repayment of bank debt and employee termination costs of €1.3 million.
Dunloe said it was sticking to its revised strategy of focusing on key development properties and joint ventures. It said it was continuing to dispose of non-core joint ventures, investment and development properties.
Last year, the group disposed of development properties for €41.4 million and investment properties for €172.2 million.
At the end of 2001, the group held €168.1 million of stock representing 10 separate development projects.
The group said it was concerned about the depressed Northern Ireland property market and in particular its 16-acre waterfront Sirocco site in Belfast - bought for €38.2 million in September 1999 but which has fallen in value.
Dunloe said it has made a provision of €13.2 million against the carrying cost of Sirocco as well as making a provision of €2.2 million against other development sites in Belfast.