:. Food Industry News


Chile's Cencosud Investing $3 Bln over 5 Years

Source: Reuters
18/02/2008

Santiago, Feb 17 - Chilean retail group Cencosud will invest $500 million this year and $3 billion over five years to double sales, its general director Laurence Golborne told a local newspaper on Sunday.

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Cencosud, which is starting operations in Colombia this year, already has stores in Chile, Argentina, Brazil and Peru.

Santiago-based Cencosud runs supermarkets, department stores and other stores that sell housewares and construction materials. It also owns shopping and entertainment centers.

"We are talking about levels around $500 million," for 2008, Golborne told the newspaper El Mercurio.

"Cencosud generates EBITDA (earnings before interest, taxes, depreciation and amortization) of $900 million, of which about $600 million a year will be invested," he said.

For this year, Cencosud has projected sales of about $10.3 billion.

"In five years we will invest about $3 billion and at that rate we could double our sales during the same period," said Golborne.



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