European Retail Briefing - April 2009

ANALYST’S COMMENT
 STEALTH SHOPPING
Hiding your wealth, no longer offshore
Flashing the cash no longer fashionable?
Removing the guilt factor
HEADLINES OF THE MONTH
Food retailers
Clothing
Multi-sector retailers
Department stores
DIY
Electricals
Home shopping
RETAIL SALES REVIEW
 FRANCE
Figure 1: France: Retail sales trends, 2008-09
Inflation
Figure 2: France: Inflation, 2008-09
 GERMANY
Figure 3: Germany: Retail sales trends, Feb 2008-Feb 2009
Inflation
Figure 4: Germany: Inflation, 2008-09
 ITALY
Figure 5: Italy: Retail sales trends, 2008-09
Inflation
Figure 6: Italy: Inflation, 2008-09
 NETHERLANDS
Figure 7: The Netherlands: Retail sales trends, Jan 2008-Feb 2009
Inflation
Figure 8: The Netherlands: Inflation, 2008/09
 SPAIN
Figure 9: Spain: Retail sales trends, 2008-09
Inflation
Figure 10: Spain: Inflation, 2008-09
 UK
Figure 11: UK: Retail sales trends, 2008-09
Inflation
Figure 12: UK: Annual percentage change in Retail Price Index for selected product groups, Dec 2007-Feb 2009
SECTOR FOCUS: EUROPEAN TELECOMS RETAILING
 THE EUROPEAN TELECOMMUNICATIONS MARKET SIZE AND FORECAST
Germany the largest market but not per capita
Figure 13: Per-capita spending on communications by country, 2007
Retail Competitor Analysis
Figure 14: Retailer competitor analysis, 2007/08
THE MONTH IN RETAILING
 CONVENIENCE STORES
Slovenia: Spar sales rise 10% in Slovenia
 GROCERS
Belgium: Delhaize
…expresses interest in Carrefour stores
…ends Unilever boycott
…sees Q4 profit rise 30%
France: Auchan
…outlines Russian expansion plans
…sees full-year EBITDA rise 10%
France: Carrefour
…launches in Bulgaria
…launches Value line
…suffers profit drop amid downturn
…to appoint new CFO
Lithuania: Maxima outlines 2009 expansion plans
Netherlands: Super de Boer reports flat Q1 results
Poland: Zabka outlines expansion plans
Portugal: Sonae records 20% FY profit drop
Russian Federation: Magnit's FY profit soars 93%
Russian Federation: Seventh Continent reports February sales rise
Russian Federation: X5 eyes more franchises
Slovenia: Mercator shareholders to relinquish 25% stake
Turkey: BIM's FY profit up despite slow Q4
UK: Aldi posts sales increase
UK: Morrisons
…sees rise in FY profits
UK: Sainsbury's reports robust Q4 results
UK: Tesco
…to open in-store banks
UK: Waitrose to launch in motorway service stations
 OFF-LICENCES
UK: Majestic Wine acquires Lay & Wheeler
 OTHER FOOD SPECIALISTS
UK: Holland & Barrett/Julian Graves merger goes to Competition Commission
 CLOTHING RETAILING
Greece: Sprider reports 45% profit drop
Hong Kong: Esprit appoints Van der Vis as new chief
Spain: Inditex LFLs rise 12%
Sweden: H&M enjoys 18% Q1 sales boost
Sweden: RNB sales slide in February
UK: French Connection posts FY loss
UK: Hobbs sees FY profits fall
UK: Laura Ashley posts FY profit drop
UK: Moss Bros
…posts £5m FY loss
UK: Mulberry stake sold to Kaupthing
UK: Peacocks reports soaring sales
UK: Ted Baker FY profits plunge 11.4%
 MASS MERCHANDISERS
US: Wal-Mart
…re-enters Lenta discussions
 MIXED GOODS RETAILING
UK: Mothercare posts impressive FY results
 MULTI-SECTOR RETAILING
Germany: Arcandor chief refuses to rule out break-up
Germany: Metro
…starts search for new chief
…posts 4.8% Q4 profit boost
…sees FY profit plunge 51%
Switzerland: Migros posts strong FY results
UK: Home Retail Group posts Argos, Homebase results
UK: Marks & Spencer
…sees sales fall
UK: Next posts 11% decline in FY operating profit
 DEPARTMENT STORES
UK: Debenhams
…H1 results hit by "extremely difficult" conditions
…ponders Russian re-entry
UK: Harvey Nichols sees profits fall 40%
UK: John Lewis suffers 26.4% drop in profit
 DIY RETAILING
Germany: Hornbach posts 5% rise in FY sales
Germany: Praktiker slows expansion plans
Sweden: Clas Ohlson boasts better-than-expected Q3 profit
UK: Kingfisher
…posts FY sales, profit increase
…chairman announces retirement
UK: Travis Perkins plans £300m rights issue
 ELECTRICAL RETAILING
Finland: DSG subsidiary considers store closures
Russian Federation: Eldorado sold to mobile operator MTS
Russian Federation: Technosila reports 26% sales increase
Sweden: DSGi closes Swedish PC City chain
UK: DSGi mulls rights issue
UK: Jessops receives restructuring officer
US: Best Buy reports robust results
 CARPET RETAILING
UK: Allied Carpets saved by investment fund
 HOME SHOPPING
Germany: Neckermann poaches new chief executive from Quelle
Germany: Otto posts robust FY results despite crisis
UK: Ideal Shopping takes £9.2m hit
UK: Ocado offers "Instant Order" choosing service
 HEALTH AND BEAUTY RETAILING
Germany: Celesio braces for earnings decline in Q4
 SPORTS AND LEISURE GOODS RETAILING
UK: Blacks Leisure warns of losses
UK: JJB Sports
…outlines refinancing plans
…health clubs to be bought by Whelan
UK: Ashley buys Ronnie's 23% JJB stake
 JEWELLERS
UK: Aurum chairman confident of future
UK: Signet
…renegotiates debt
…suffers loss in 2008
 ECONOMIC NEWS
Finland: Retail sales climb 10% in January
Ireland: Retail sales fall 20.4% in January
Lithuania: Retail sales plunge in February
Scotland: Retail sales suffer "worst decline for eight years"
Sweden: Retail sales fall in February