Veghel, 17 April 2008 - Sligro Food Group N.V.'s sales for the first quarter (13 weeks) of 2008 were Euro 520 million, an increase of Euro 85 million (19.5%) compared with the first quarter of 2007 ( Euro 435 million)
Organic growth in sales in the first quarter was 9.3%. On top of this, there was a net sales increase due to a change in the storemix as a result of the opening of new supermarkets and the transfer of stores to Spar Holding.
Growth on a like-for-like basis in consumer sales at the Golff and EM-TÉ supermarkets amounted to 6.3% during the first quarter. Both formats achieved growth of over 6%, partly as a result of successful commercial campaigns in the first quarter. The first commercial and operational improvements in our food retail activities can already be seen.
We expect that food retail activities will make an operating profit in the first half of 2008, but, partly as aresult of the sales transferred to Spar Holding, it will be below the level in the corresponding period in 2007. Asannounced previously, the effects of our programmes on improving results at Foodretail will be seen mainlyfrom the second half of 2008 onwards.
Organic growth in sales in Foodservice activities was 10.7%. Both Inversco-Van Hoeckel and Sligro recordeddouble-digit growth as a result of winning new customers and higher spending by existing customers. Theoperating profit on the Foodservice activities is developing well as a result of the strong sales trends and thepositive effects of the new logistics infrastructure. The forty-fourth Sligro cash-and-carry outlet will open in Leeuwarden on 21 April.
On balance, we expect that the net profit for the first half of 2008 will exceed the net profit of € 25.6 million for the first half of 2007. The half-year figures will be published on 17 July 2008.
Sligro Food Group N.V. encompasses food service and food retail companies selling directly and indirectly to the entire Dutch food and beverage market. Sligro Food Group aims to be a dependable, high-quality company achieving managed growth in all its activities and for all its stakeholders. In 2007, the company achieved a net profit of € 74 million on turnover of € 2,066 million and had over 5,000 employees on a full-time equivalent basis.