Consum gains 11% more market share and has reduced prices by 10%

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Consum gains 11% more market share and has reduced prices by 10%

The Consum cooperative (HQ at Silla Valencia) closed 2008 with results of 28.8 million Euros, which is 11% more than the previous year, even though it has reduced the average of it's prices by 10%.  The second half of 2008 was not as good as the first half but the company bosses were pleased with the overall results.

The cooperative has doubled it's sales in the last 4 years and in 2008 its invoicing was 1,557.8 million Euros.  This was due in part to the opening of 30 new stores and the refurbishment of 77 other stores, all with an investment of 57.3 million Euros.

Also in 2008 it acquired 130 stores from the networks of Dinosol, Caprabo and Sabeco.  So, at the moment it has 564 supermarkets (426 own and 138 franchise-holders) located in the Valencian Community, Catalonia, Castilla-La Mancha, Murcia and Andalusia. This last community, Andalusia, will be the main centre for the next wave of expansion.  It is forecast to open 20 stores there in the next 4 years on top of the 9 it has there already.

Consum will very soon open 30 new supermarkets (12 in the Valencian Community, three in Catalonia and two in Andalusia) and will reform 20 other stores. With respect to the next year (2009), Consum anticipates an increase in sales of 5.5%, up to 1,640 million Euros.

The company spokesman indicated that today the situation of the cooperative is reasonably good and it is weathering the impact of the economic crisis, since it is operating within well laid plans.

The chief of the main directorate of Consum explained that the reduction of prices in their products is an effect of their savings in costs such as electricity, where they have saved three million Euros, and also their reduction of the commercial margin, that in the past year was 1.80%.  He further pointed out that they cannot lower their prices by themselves and will rely on suppliers as well.

They also point out that they have opened 7 "Eco-efficient" supermarkets.  The style of these new types of supermarket will then be applied to the rest of their network of supermarkets so they can save 25% in electricity costs and 20% in the costs of their water.

Consum has a group of 9,100 employees, of whom 90% are partner-workers, who between them in 2008 shared 14.5 million Euros.

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