Third quarter 2011: Negative trend strengthening

The general figures on business activity within the MEM sector likewise reveal a negative trend, although the overall picture for the first nine months as a whole remains positive. Sales rose by 3.9% and new orders by 6.4%, as a result of the good order intake at the end of last year and in the first quarter of 2011. Beginning in the second quarter of 2011, the trend turned negative. New orders were 2.6% down on the previous year in the second quarter, and slumped even further in the third quarter to finish at -4.9%. In addition, price pressure continued unabated due to the strong franc. In the first nine months export prices in the MEM industries fell by 4.8%. It therefore comes as no surprise to find companies increasingly pessimistic about their business outlook. At present, more than 35% of companies surveyed anticipate a negative trend in orders from abroad over the next 12 months. At the end of the first quarter of 2011, only 14% did so.

Franc remains too strong

Current industry figures, the results of the Swissmem survey, corporate guidance and, not least, highly cautious economic forecasts, all point to a difficult first half in 2012. It is true that the setting of a minimum exchange rate of CHF 1.20 per euro by the Swiss National Bank (SNB) at the beginning of September brought a certain amount of calm after the turbulent summer months, above all restoring companies' confidence in planning. However, 72% of respondents said that an exchange rate of CHF 1.20 per euro is not enough to bring about a sustainable improvement in the situation. If the exchange rate remains at its current level, the MEM industries will see further job losses and relocation of production abroad during the next six months.

Swissmem's expectations

To dampen the negative impact of the strong franc, Swissmem would like to see the following action taken:

1. The SNB has repeatedly indicated its willingness to resort to further measures to weaken the Swiss franc if necessary. In Swissmem's opinion, that need clearly exists at present. Swissmem leaves it to the SNB to decide how this goal is to be achieved.
2. The MEM industries’ growth markets are outside Europe. In order for these industries to better seize the opportunities that present themselves, the federal government must conclude the planned free trade agreements with India and China as quickly as possible.
3. The promotion of innovation by the state in recent years has suffered from a lack of continuity. However, promoting innovation is a task that requires long-term commitment and, therefore, a steady approach. To enable the continuous promotion of innovation within business, Swissmem is calling for the Commission for Technology and Innovation (CTI) to be given a higher basic budget, which will be maintained at a consistent level.
4. In connection with innovation, Swissmem once more calls attention to the great importance of the free movement of persons. Innovation is only possible if there are outstanding skilled workers and specialists at every level within the industries, but these are currently lacking. Consequently, access to the European labour markets is vital. Swissmem thus opposes any restrictions on the free movement of persons from the EU.
5. Calculated in euros, Switzerland has seen a massive rise in unit labour costs in recent years compared with its main competitors. In the interests of maintaining the Swiss export industries’ ability to compete, policymakers must ensure that the burden of taxes, charges, duties and regulation on these industries is reduced.
6. To save the companies under threat, and at the same time keep jobs in Switzerland, businesses must be given greater room for manoeuvre. Swissmem therefore calls on the social partners not to become mired in intransigence, but instead to demonstrate a willingness to accept forward-looking solutions.

Zurich, 15 November 2011

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As anticipated, sales rose in the first half due to good levels of orders. At +3.7% though, the increase was modest. The reason for this is the pressure on export prices, which has been growing for months now. In the second quarter alone, prices fell by an average of 4.9%. Export prices have now been declining for ten quarters in a row. Pressure on companies' margins has continually tightened during this period. The ever-worsening scenario in the MEM industries is also reflected in corporate guidance. In the first quarter, a mere 13.9% of companies surveyed had a pessimistic outlook for the following 12 months, but this figure doubled in the second quarter to 27.8%.

The current figures for the MEM industries, the much bleaker sentiment among companies and the worldwide economic slowdown point to a difficult few months ahead for this sector.
 
Swissmem welcomes the SNB's and Federal Council's measures

The only thing that would help the MEM industries in the short term is a considerable depreciation of the Swiss franc. If this does not happen, many companies will have far-reaching decisions to make this autumn. After all, much of Switzerland's industrial substance is under threat. Swissmem thus entirely welcomes the approach taken by the Swiss National Bank (SNB) to weaken the Swiss franc. Swissmem expects the SNB to firmly pursue the path it has embarked upon, stepping up its measures if necessary.

In Swissmem's view, such an extraordinary situation also justifies taking specific, one-off emergency measures that will be applicable for a limited period only. The purpose of these measures is to ease the pressure on companies whose existence would be acutely threatened by the strength of the Swiss franc. Swissmem expects the Federal Council task force to devote part of the aid package to short-term emergency measures of this kind.

The operating environment for the industry must also be improved. In the short term, this will not help tackle the strength of the Swiss franc. However, it will help make Switzerland a more attractive centre of industry in the medium and long term. Swissmem therefore welcomes the Federal Council's approach and, in particular, supports its intention to consistently promote innovation, take action to prevent Switzerland from becoming an "island of high prices" and to reduce the burden of fiscal charges and red tape.

In addition, Swissmem is calling on importers to pass on their currency gains to trade, industry and consumers in full.

No restrictions on the free movement of persons

To compensate for lower margins, Swiss industry has to be a source of excellent innovation. This is only possible with qualified employees, which are increasingly lacking in Switzerland. The Swiss labour market cannot meet this demand. The agreement on the free movement of persons with the EU is therefore vital to industry, as it gives Swiss companies access to the European labour market and thus to the specialists it needs.

The latest survey among Swissmem's member companies underlines the acute lack of specialist employees:

• 69% of MEM companies who responded stated that they are lacking specialist staff, with 78% of companies with more than 250 employees confirming that this is the case.

• 60% of companies agree that the lack of specialists is damaging their ability to compete on the market, with this figure rising to 67% for larger companies.

The results of the survey show that companies in the MEM industries are in particular looking for highly qualified employees from the EU. More than two thirds of companies surveyed recruit people from the European labour market with a university degree or a good professional training qualification.

The political attacks on the free movement of persons that were recently launched therefore present a threat to the competitiveness of Swiss industry. Swissmem thus rejects the initiative of the SVP (Swiss People's Party) to stop "mass immigration".

Zurich, 24 August 2011

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Compared to new orders, however, sales rose by a perceptibly more modest amount,increasing just 2.7% on the first quarter of 2010, and still languishing 18% below pre-crisis levels. According to figures published by the Swiss Directorate General of Customs, exports by the MEM industries rose 11.1% in the first quarter of 2011. Once again Asia (+27.3%) and particularly China (+73.5%) stand out. Exports to the EU, the destination for over 60% of the products manufactured by the MEM industries, were up a modest 6% by comparison.

This trend has also impacted on capacity utilization, which rose to 91.4%, significantly ahead of the previous year (76.6%) and the long-term average (86.1%).

Strong franc exerting pressure on margins

The positive global business environment continued to stimulate the recovery in demand for the MEM industries’ products. Nevertheless, the strong Swiss franc weighed heavily on sentiment. Swissmem has found extensive evidence that pressure on export prices and thus on companies’ margins is high. The Swiss Directorate General of Customs’ most recent statistics confirm the substantial price reductions that have been made over the last three quarters. The decline in the value of the US dollar since the beginning of the year has further depressed earnings. Moreover, the current uncertainties in the euro zone raise little prospect of an improvement in the exchange rate situation over the next few months. This will not reduce pressure on margins.

Current measures no longer adequate

The MEM industries responded to the strength of the franc last year, purchasing more inputs in the euro zone and employing various currency hedging instruments. Rigorous product cost management and efficiency enhancements are further measures that are often adopted to soften the negative impact of the franc’s strength. However, all these measures are not always adequate to safeguard competitiveness in the long term.

To remain internationally competitive our companies have to use innovation to differentiate themselves from rival suppliers. But innovation does not just happen overnight, and Swissmem is worried that companies will be forced to adopt drastic measures such as relocating production abroad and reducing headcount in Switzerland. For several months now Swissmem has been noticing that investments in new or replacement equipment are increasingly being made abroad. This is a trend that the government should take into account.

Groundbreaking political discussions in election year

The MEM industries generate 9% of GDP and employ around 330,000 people. As such they are a cornerstone of the Swiss economy. Swissmem is following current political debates with great concern.

1.    Under no circumstances must freedom of movement be restricted. Innovation is only possible with outstanding, skilled staff members at all levels. Skilled staff are becoming increasingly scarce. If companies are no longer able to find the people they need in Switzerland, they must have the option of recruiting them abroad.

2.    Industry is reliant on a dependable, uninterrupted electricity supply. A thorough review needs to be undertaken to assess the options for safeguarding power supplies in the long term. This means avoiding hasty energy-policy decisions.

3.    Switzerland holds top positions in the pertinent global innovation rankings. However, it is too seldom successful in transforming this huge potential into marketable products. Knowledge and technology transfer from the Swiss Federal Institutes of Technology, universities of applied science and research institutes to companies must be intensified. The Commission for Technology and Innovation (CTI) should therefore be awarded 50 million francs in extra resources in 2012.

Zurich, 24 May 2011

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MEM industries hard hit by strong franc

The results of a survey of Swissmem members on the strength of the Swiss franc illustrate the negative effects clearly. 87% of respondents said that the devaluation of the euro had «seriously» (54%) or «moderately» (33%) impacted their business. SMEs with fewer than 250 employees were markedly harder hit than the larger companies.

The problem is not due to demand in the world markets, but to the contraction of margins caused by the rapid, 17 percent rise in value of the Swiss franc. To avoid losing orders, many of the exporting companies had to reduce their prices. 48% saw their margins fall by more than 6 percentage points as a result. Unless action is taken to counteract a loss of margin of this size, an average MEM company will find itself incurring a direct operational loss. In the medium term this will jeopardize the viability of many companies.

Measures to ensure a sustainable future for the MEM industries

The vast majority of companies have already take action to counteract the problem. Short-term measures focus on purchasing more inputs in euros, currency hedging transactions and, if feasible, price increases. However, sustainable results can only be achieved through rigorous cost management, enhanced efficiency and, above all, the promotion of innovation. This takes time and needs an appropriate setting. Swissmem is therefore making the following demands:

1. The Commission for Technology and Innovation (CTI) should be awarded 50 million francs in extra resources in 2012. The Federal Council’s decision of 16 February is a step in the right direction, but not enough in itself. Promoting innovation is the most effective way of safeguarding competitiveness. Last year, only 43% of the projects that were submitted received funding. A large number of projects failed to get off the ground even though experts considered them worthy of support.
2. The government needs to sign the planned free trade agreements with China and India as quickly as possible. Exporting industry needs unhindered access to these new growth markets.
3. The free movement of persons must not be limited in any way. A sufficient number of skilled employees is essential if exporting industry is to remain competitive. It is a fact that there is a shortage of skilled workers at all levels, and the inflow of new, young specialists is slowing down all the while. The MEM industries are therefore obliged to recruit suitable staff members from abroad.
4. The Confederation, cantons and social partners need to safeguard the flexible labour market. Swissmem will oppose further regulation and any additional increase in incidental labour costs.
5. Importers need to pass on currency-related gains to customers and reduce their prices accordingly.

Outlook

The pace of growth is likely to slacken over the next few months. In view of the recent increase in new orders, sales look set to rise in the coming months. However, with little prospect of an improvement in the currency situation, the pressure on margins is very unlikely to let up. This means that many companies are either generating no profit at all or their profit is too low to secure their medium- and long-term future. Swissmem expects the negative effects of the strong Swiss franc to intensify during 2011.

Zurich, 24 February 2011

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After training as a materials engineer at ETH Zurich, Hans Hess began his career as a development engineer at Sulzer AG in 1981. He assumed his first management position when he transferred to Huber+Suhner AG in Pfäffikon (Canton of Zurich) in 1983. Having gained an MBA at the University of Southern California in Los Angeles, he joined what was then Wild Heerbrugg as Senior Vice President and Head of a Business Unit in 1989. He was appointed to the Executive Committee of the Leica Group in 1993 and from 1996 to 2005 was CEO of the independent, Heerbrugg-based Leica Geosystems AG, which he successfully floated on the stock market in 2000.

At the end of 2005, Hans Hess resigned from his duties at Leica Geosystems after the company was taken over by Hexagon and founded Hanesco AG in Pfäffikon (Canton of Schwyz). He has been a member of the Board of Directors of several industrial companies since 2006, specifically: Burckhardt Compression Holding AG, Winterthur, (Board Chairman since 2006); Comet Holding AG, Flamatt (Board Chairman since 2007); Reichle & deMassari Holding AG (Board Chairman since 2007); Geberit AG, Jona and Schaffner AG, Luterbach. Hans Hess has also been a member of the ETH Board and Chairman of the Advisory Board of WTT CHost since 2007.

Hans Hess has been closely associated with Swissmem for over 11 years, and was elected to the association’s Committee in 1999 and its Executive Committee in 2004. He became Vice-President in 2007 and was Swissmem's representative on the Executive Committee of the Swiss Employers’ Association from 2007 to 2010. Furthermore, he has been a member of economiesuisse’s Executive Committee since 2009.

About Swissmem:
Swissmem unites around 1,000 companies employing 330,000 employees from Switzerland's mechanical and electrical engineering industries (MEM industries). As such it is the largest industry association in Switzerland. Swissmem is an independent and incisive voice that represents the interests of Swiss industry in economic, political and public debates. In this way, it strengthens Switzerland's ability to compete at international level as a location for industry and research. Swissmem identifies the concerns of its member companies, encourages active networking within the association and provides efficient services tailored to their needs. The Association of Swiss Engineering Employers (ASM), which is organized under the Swissmem umbrella, is also a partner in the most significant collective employment agreement within the industry.

You will find a photo of Hans Hess at www.swissmem.ch/media.
 
Zurich, 18 November 2010
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Looking at the sector as a whole, order intake increased by 12.1% in the first nine months of 2010, with international orders (+11.9%) more or less keeping pace with domestic orders (+12.2%).

Although sales figures for the first nine months of the year came in below the previous year's levels (-3.4%), there are signs that the situation may be stabilizing. Domestic sales (+5.4%) performed better than international sales (-5.9%). Sales are currently ranging slightly above their 2005 level, and are thus still down by a quarter on 2008’s peak levels.

Capacity utilization in the MEM industries has improved over the course of the year, from 76% in the first quarter to 85% in the third, bringing it to a level only slightly below that of its long-term average of 86%.

Weakening pace of growth in the third quarter

Looking at the third quarter in isolation, sales surpassed their previous year's level by the thinnest of margins (+0.1%) – for the first time in seven quarters, it should be noted. Nevertheless, the growth in new orders (+5%) weakened considerably compared to the first half of 2010 (+15.7%).

Alongside slowing global growth, the main dampening effect on new orders for the MEM industries is likely to have been the strength of the Swiss franc. While the euro has not become any weaker in past weeks, the US dollar continued to lose value against the franc. Accounting for just under a fifth of export volumes, dollar-based markets are the second most important economic area for the MEM industries. By way of comparison: the eurozone is the sector's largest market, accounting for two-thirds of export volume. A striking aspect here is that our European competitors, for example in Germany, are reporting higher rates of growth in orders than the MEM industries in Switzerland. This circumstance highlights one component of the currency problem facing our exporters.

2011: cautious optimism

Swissmem's 290 reporting members are looking ahead to 2011 with cautious optimism. Almost half of the reporting companies anticipate an improvement in new orders generated abroad. Swissmem therefore expects to see a fundamentally positive trend for 2011. Nevertheless, there are signs that the pace of growth in new orders is set to decline. 

Zurich, November 12th 2010

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Ivo Zimmermann, Head of Communications
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Johann N. Schneider-Ammann has played a key role in shaping Swissmem's work during his 12-year presidency, turning the 1,000 member-company association into a modern service and industry organization.

Until Johann N. Schneider-Ammann’s successor has been appointed, Swissmem will be managed by its Vice Presidents, Hans Hess and Andreas Koopmann. A selection committee will evaluate candidates over the months ahead and submit a proposal to the Executive Committee at the appropriate juncture.

The Executive Board and entire Swissmem team would like to wish Mr. Schneider-Ammann every success and satisfaction in his responsible new role.

Zurich, 22 September 2010

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Ivo Zimmermann
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The same picture emerges if we look at the second quarter of the year alone. During this period, new orders from abroad (+9.1%) and from Switzerland (11.8%) continued to develop positively. Nonetheless, international sales fell by 7.2% while domestic sales rose by 6.9%. All in all, this resulted in a 4% drop in the total sales of Swissmem's 290 reporting members in the second quarter of 2010.

Varying export dynamics

According to figures published by the Swiss Directorate General of Customs, the trend in goods exports of the individual subsectors varied very widely. In metalworking in particular (22.5%), considerably more goods were exported in the first half of 2010, while last year's levels were only just exceeded in mechanical engineering (1.9%) and precision instruments (1.5%).

The market situation improved in all export regions. More goods were delivered to the European Union (3.2%), the USA (7.9%) and Asia (13.0%). Exports to Germany (which purchases more than a quarter of the entire exports of the Swiss MEM industries) increased by 6.4%, while exports to China (the largest Asian market, accounting for 5.2% of exports) were boosted by 25.4%.

In view of the rising levels of incoming orders since the beginning of 2010, companies expect higher sales in the second half of the year. In particular, further growth stimuli are anticipated from the German, US and Chinese markets. It remains to be seen how sustainable the current economic recovery really is, as considerable uncertainties still abound in the global economy and among our member companies.

In the second quarter of 2010, industry capacity utilization stood at 79.4%, which is considerably lower than the long-term average of 86%. In total, the MEM industries employed 327,896 FTEs at the end of March 2010, which is a 5.1% reduction compared to last year.

Avoiding larger cost structures

Alongside the still unsatisfactory business situation, high margin pressure and further cost increases are also impacting on companies’ performance. The strong Swiss franc, which has appreciated by around 10% against the euro since the beginning of the year, is making it much more difficult for Swiss companies to offer competitive prices, and is forcing them to optimize their cost structures wherever possible. These efforts are in contrast to political proposals that would entail additional, excessive burdens for companies.

Swissmem is convinced that a well-functioning unemployment insurance system is crucial to securing Switzerland’s status as a centre of industry. The companies in the MEM industries are therefore prepared to accept the 0.2% rise in the unemployment insurance contribution and the reintroduction of a solidarity contribution to be paid by those in the top wage brackets.

If the proposal is rejected in the referendum on 26 September, the costs to employers and employees will be far higher, resulting in an additional worsening of the operating environment. For this reason, the companies of the Swiss mechanical and electrical engineering industries say a resounding «YES» to the reform of the unemployment insurance system.

Press Diagram «New Orders MEM industries» 

Zurich, 25 August 2010

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Aggregate sales volume ended 6% lower than the previous year’s figure for the same quarter, falling domestically by -5.1% and on international markets by -6.4%. This decline was significantly more moderate than last year’s, when sales plummeted by 20.3%. Quarterly sales thus fell to a level last seen in 2006. Exports have rebounded thanks to positive development on the Asian market (+5%) in the first quarter of 2010, levelling off at a plus of 0.3%. However, the 0.7% drop-off in exports to other European countries – our companies’ principal market – still lags behind last year’s level. Exports to the United States have likewise diminished (-1.7%).

Differing product markets

Individual subsectors within the MEM industries are experiencing differing market developments. The metals and metal goods sectors have displayed the strongest recovery (+14.5%), followed by electrical engineering and electronics (+4.6%). In contrast, negative developments continue to hound precision instruments (-1.6%), vehicle construction (-5.6%) and machine tools (5.9%). The low level of orders in recent months has eroded capacity utilization even further, down to 76.6% - amounting to a 6.2% drop year-on-year. And while the rate at which jobs are disappearing may have slowed, some areas have yet to be hit with even more cuts.

For 2010, the majority of the industries’ businesses expect markets to continue to mend, with hopes focussing not only on China, Hong Kong and the Indian subcontinent but on Germany, France and the NAFTA countries in particular. 

The euro as profit margin killer

Swiss machine tool manufacturers are worried additionally by the trend in the euro-franc exchange rate, which has seen the value of the euro fall by some 7 percent more over the first 5 months of this year to where it is now worth just under CHF 1.40. Despite extensive foreign currency purchasing by the Swiss National Bank, doing everything possible to stabilize the euro exchange rate, it ultimately failed to sustainably avert the decay. Even as the current exchange rate severely impacts the profit margins so necessary to our companies’ survival, Swissmem does not believe that stronger intervention by the national bank could solve the problem. However, if the euro exchange rate persists at today’s level for long, it cannot be ruled out that numerous enterprises will find themselves forced to shift at least portions of their production abroad in order to survive.

Swissmem calls for adequate funding of research and development

It is thus all the more essential that the Swiss MEM industries are able to base their undertakings on sound framework conditions. Particularly in times of crisis, the Commission for Technology and Innovation (CTI) has proven to be an excellent instrument for promoting research and development in the MEM industries. This is why Swissmem has expressly welcomed the increase in CTI funding implemented as part of the Swiss Federal Council’s third stabilization programme, as well as the easing of eligibility requirements for firms to participate. This instrument not only promotes innovation: it also opens up new opportunities for companies and contributes to creating new jobs. CTI’s success has now resulted in a financing shortage that, in turn, has led to a tightening of criteria for allocation of funding – which ultimately impairs technology transfer. Swissmem is therefore urging that the CTI budget be increased immediately to enable selection to continue based on the usual, existing standards. Swissmem is also calling for the proportion of research expenditures to not be shifted further in favour of the Swiss National Science Foundation, as has been the case in recent years. In line with its commitment to ensuring that Switzerland remains a strong location for industry and research, Swissmem believes that in order to retain the country's attractiveness as a research location, it is crucial that funding be provided to turn research results into successful innovations. Viewed in this context, Swissmem considers it absolutely vital that adequate funding be put at CTI’s disposal.

Damocles’ sword – electricity and water prices

The Swiss MEM industries also depend on economical electricity prices in order to stay competitive. As is generally known, the initial stage of market liberalization has failed to produce a functioning electricity market, which is why the Swiss Federal Government has launched efforts to revise the nation’s Federal Electrical Supply Act. Swissmem has great expectations that revision of this legislation will succeed in creating an electricity market with internationally competitive electricity prices. Swissmem considers Parliament’s intention to increase water rates in conjunction with raising the compensatory feed-in remuneration (KEV) to be fully misguided. Such measures would drive electricity prices even higher at the expense of Switzerland as an industrial location.

Zurich, 19 May 2010

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The reporting companies’ sales decreased by 20.3% year-on-year, with large falls being experienced in both the domestic (-16.6%) and foreign (-21.2%) markets. Business remained subdued throughout the fourth quarter, with domestic and foreign sales 13.7% and 19.7% below the previous year’s levels respectively. Quarterly sales were corresponding low, similar to the levels last seen in 2004.

Large drop in exports
Exports by the MEM companies were 20.8% down year-on-year as a result of the challenging market situation, although the fall in the fourth quarter of 2009 was rather more moderate at 13.1%. The strong decline in exports to the European markets (-23.3%), which account for some two thirds of all exports by the MEM industries, had a particularly heavy impact. The negative trend was reinforced by decreases in exports to the USA (-21.7%) and Asia (-11.4%). Exports to Asia in the fourth quarter of 2009 were at virtually the same level as in the previous year (-1.8%), while exports to European countries fell substantially short of 2008 levels (-15.1%).

Big differences between industries and markets
All product areas experienced a downturn in 2009. This downturn was particularly strong in the metalworking (-31.3%) and mechanical engineering (-25.9%) sectors, while the electronics and electrical engineering and precision instruments subsectors were less hard hit (-16.2% and -7.2% respectively). Since it followed on abruptly from a phase during which production was extremely high, the slump in the global economy caused markedly lower capacity utilization than in 2008. Having averaged 86% for many years, capacity utilization fell to around 77.5% in the fourth quarter of 2009.

Business outlook uncertain
The business outlook for the coming months is fraught with uncertainty. Even though many companies are assuming that most European markets will slowly recover and are expecting a slight increase in economic stimuli from other regions of the globe, it cannot be taken for granted that there will be a rapid, sustainable recovery. The persistently low level of business activity compared to 2008, the disparate financial situations of countries and companies and the heterogeneous development of submarkets continue to present major challenges that will demand entrepreneurial flexibility.

24 months and free movement of persons
In light of this situation, it may make sense for certain companies to continue to resort to short-time working. Swissmem therefore supports the demand that has been made to extend short-time work to 24 months. Being able to do so would enable certain companies to retain the staff and skills that they will need when the upturn comes. Swissmem does not believe that this conflicts with the agreement on the free movement of persons, which gives companies easier access to European markets and facilitates the exchange of knowledge that this brings. Studies show that the free movement of persons has neither pushed unemployment up substantially nor undermined the social security system. It is a key factor in Switzerland’s prosperity. Swissmem therefore regards the SVP’s demands for termination and renegotiation of the agreement as the wrong course of action.

A healthy social security system is essential to retaining Switzerland’s competitiveness and position as a centre of business activity. This is why Swissmen is recommending that people vote "yes" on the issue of a fair conversion rate on 7 March 2010.

Zurich, 23 February 2010

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Ruedi Christen, Head of Communication
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