Austria's BauMax company, which entered the market in 2006, has already gained a position among the five largest DIY networks, with seven stores, while Romania is one of the top markets among the eight that BauMax operates on in terms of sales value and profit per square metre. In 2007, the company's second year of activity in Romania, the domestic network stepped into the black, which took the company's managers by surprise. "Turning a profit was not a goal for the company as we're making massive investments to expand the domestic network. This year, we expect profit to rise to around 6m euros," says Alexander Frech, the new general manager of BauMax Romania. Before, Frech was a sales manager at the domestic subsidiary. He says that this year profit growth will come amid the doubling of BauMax Romania's sales, from 61m euros in 2007 to 110m euros. At present, each of the seven stores of the network generates a profit. One of the biggest challenges the new manager is facing is to curb personnel turnover in stores, which generates additional costs. He also says he has lately seen personnel turnover reduce from 40% to around 30%. On average, a domestic BauMax store employs 110 people, with the total number of people working at the Romanian subsidiary now standing at around 900 people. "In Romania, BauMax has gone beyond the market testing period. After the first launches, we've tried to improve our store concept and among other things we've developed services particularly destined to professional customers and we've better adjusted our product offering to market demand," Frech also said. Domestically, the retailer operates stores with sales areas ranging between 10,000 and 15,000 square metres, with around 30,000 items displayed. At present, the company operates seven stores, two of them being opened this year. BauMax will open six stores next year, with one of th