Fedon, which is now investing heavily in China, reports a 1 percent sales decline to €57.2 million for 2004. They were more or less stable in terms of local currencies. Eyeglass cases, which are the company's core product category, recorded a 3.1 percent drop to €44.958 million. This was partly compensated by a 54.4 percent jump in sales of leathergoods for the office and other applications. With 70 million units delivered to customers, they represented 4 percent of Fedon's total turnover. The company's recent investments on logistics, automation and offshore production are expected to lead to more positive sales results in 2005. The year-end order backlog stands at €17.2 million, including €2 million for its foreign subsidiaries.