Swiss logistics group Panalpina reported a 94 per cent drop in first-quarter profit to 1.9 million Swiss francs (US$1.64 million), but said it was on track to reach its cost-cutting goal for 2009 which includes cutting 10 per cent of its workforce. “The massive recession-related global volume decline seen since the end of 2008 has impacted Panalpina on all major trade lanes and had negative effects on the results in the first quarter,” said chief executive Monika Ribar. “However, with the cost-cutting programme on track and an excellent cash flow performance, Panalpina is well equipped to tackle the challenges in an ongoing difficult business climate,” she added.