In the US, The Great Atlantic & Pacific Tea Company has announced that third quarter sales ended 29 November 2008 jumped to US$2.1bn from US$1.3bn the previous year.
Adjusted eanings before interest, taxation, depreciation and amortisation (EBITDA) increased to US$78m from US$20.5m in 2007/08, while losses from continuing operations fell from US$73.1m to US$3m.
'I am pleased with the company's solid performance in the quarter,' said group president and CEO Eric Claus. 'Changes in our merchandising, pricing and promotional strategies have been successful in meeting the financially strained budgets of our customers in these difficult economic times.
'Our distinct formats continue to succeed as evidenced by the strong performance of our Fresh, Gourmet and Discount businesses, and the improved performance of Price Impact during the quarter, as we completed the integration and transition of this business' he added. 'At the end of the quarter, our annual synergy run rate totalled US$140m and we expect to achieve the US$150m target by year end.'
Executive chairman of the board Christian Haub noted that the group's results were 'strong' in the face of the challenging economic environment, and would only improve with the acquisition of Pathmark.
'Clearly the US retail market is facing one of the most difficult years in 2009,' he said. 'Our strong strategic position in the northeast and our successful format strategy prepare us for the challenges ahead and I remain confident in the longer-term prospects of the new A&P, as we celebrate our historic 150th anniversary this year.'
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