CONGLOMERATE, Lascelles deMercado plans to spend over $640 million on capital expenditure this year, but remains cautious during the ongoing recession.

“For the 2010 financial year, we had projected to increase the capital expenditure over 2009. Again, most of this was expected to be in the liquors, rums, wines and sugar segment,” noted Janene Shaw, Group financial officer at Lascelles, in a written response to Business Observer queries. “Based on the current harsh economic environment, we are currently in the process of reviewing our projected capital expenditure.”

The group expended approximately $637 million for capital additions in 2009, most of this expenditure related to the liquors, rums, wines and sugar segment. Specific projects included land levelling at Appleton estate, electrical and turbine upgrade at the Appleton distillery, a blending process automation project at its Kingston plant and a new energy-efficiency project.

The group’s financial results for the quarter ended December 31, 2009 will be filed with the Jamaica Stock Exchange on Monday, February 15, 2010.

Shaw explained that Lascelles would continue to invest in order to secure the long-term growth and successful development of our various businesses.

“Certain critical capital expenditure must be made for the future. For this reason, over many years we have pursued continuous investment in our brands as well as capital upgrade and expansion,” she noted. “There are no new plans at this time. We are cautiously monitoring the economic environment with a view to taking advantage of any opportunities that may arise.”