Svenska Cellulosa AB (SCAB), Europe's largest maker of tissue products, had its recommendation lowered to ``neutral'' from ``outperform'' by D. Carnegie & Co., citing a ``more bearish view on the packaging division.''
``Corrugated board prices were flat in the first half, but we expect lower testliner prices to push prices for corrugated board down in the second quarter,'' analysts including Stockholm- based Johan Sjoeberg wrote in a note to clients. ``Demand is clearly weaker in 2008 and as inventory levels are too high and new testliner capacity is coming on stream in 2009, we see no immediate upside in today's testliner prices,'' they said.
Carnegie is the Nordic region's biggest publicly traded investment bank.
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