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Delhaize Group Reports Strong Results with 5.0% Revenue Growth in the 4th Quarter of 2007 at Identical Exchange Rates

Source: Delhaize Group
17/01/2008

Brussels, Belgium, Jan. 17 - Full Year 2007 Revenues: Revenues of EUR 19.0 billion * Strong revenue growth of +4.9% at identical exchange rates * Comparable store sales growth of +3.8% in the U.S., the highest in more than ten years.

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Fourth Quarter 2007 Revenues:

* Revenue growth of +5.0% at identical exchange rates * Continued strong comparable store sales growth of +3.7% in the U.S., while Belgian comparable store sales increase by +1.3%

CEO Comments

Pierre-Olivier Beckers, President and Chief Executive Officer of Delhaize Group: "The full year and fourth quarter 2007 revenues that we announced today make me proud of the work accomplished by our associates across the Group. At the beginning of 2007, we set ambitious objectives and we have delivered at the higher end of these expectations, particularly thanks to outstanding performances in the U.S. and in Greece."

"During the fourth quarter, all of our U.S. operations continued good revenue momentum. U.S. consumer caution did not have a significant impact on our performance because of our many sales building initiatives. Greece had another outstanding quarter, a success that we will further accelerate this year thanks to the recently announced highly complementary acquisition of Plus Hellas. Delhaize Belgium's revenue growth in the fourth quarter showed an improvement compared to the third quarter of 2007. Belgian holiday sales were strong, particularly due to customer traffic, and margin improvement measures continued."

"We are preparing for another strong year in 2008. While the economy is far more uncertain than last year, it is also true that strong companies will be able to seize opportunities in such an environment. We are confident that Delhaize Group is well equipped in this regard. In 2008, we look forward to reaping the benefits of many recent initiatives, including the Sweetbay transformation, the Guiding Stars nutritional navigation system, the segmentation work at Food Lion, the use of ACIS at Delhaize Belgium, price investments throughout the Group and the launch in the U.S. of the new private label brand for chilled prepared meals 'On the Go Bistro'. In addition, we will support our growth through a major step-up in our store opening plan, with a planned increase of our sales network by approximately 150 stores, including an important acceleration of our store opening program at Food Lion, and the recent acquisition of Plus Hellas."



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