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Tesco Says Has Not Altered UK Sales Forecast

Source: Reuters
29/10/2008

London, Oct 29 - Tesco, Britain's biggest retailer, on Wednesday said it had not altered its UK sales forecasts but added that it was concerned about the "depth and longevity" of an economic slowdown in its domestic market.

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The Financial Times reported on Wednesday that Tesco was now budgeting for underlying UK sales growth of 2 percent this year, down from a target of 3 to 4 percent. The newspaper cited comments earlier this month attributed to Tesco Finance Director Andrew Higginson by brokerage Shore Capital.

Tesco said it had made no official alteration to its UK sales targets but that it was cautious given the slowing British economy.

"With the current uncertainty about the potential depth and longevity of a downturn, it is only prudent to consider and plan for any eventuality," Tesco spokeswoman Nikki Martin said. "We have not changed what we're looking at and have not even started our budget process yet."



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