RNS Number : 2973N
Tesco PLC
31 August 2011
 



31 August 2011

 

Tesco to sell Japan business

 

Tesco has today announced its decision to sell its business in Japan.

 

Philip Clarke, Chief Executive Officer of Tesco Plc, said:

 

"We have reviewed our portfolio in Asia and the performance of our business in Japan.  Having made considerable efforts in Japan, we have concluded that we cannot build a sufficiently scalable business. 

 

"We have decided to sell our operations there and focus on our larger businesses in the region, in line with our priority of driving growth and improving returns. I want to thank our colleagues in Japan for their continued dedication to the business.

 

"With good stores in good locations across Greater Tokyo, we will be undertaking a formal sale process over the coming months and the business will continue to trade as usual in the meantime."

 

Japan is the smallest of Tesco's international retail businesses. The company operates 129 small stores in the Greater Tokyo area under the Tsurakame, Tesco and Tesco Express formats. Over half of the stores are profitable and Tesco has also developed a strong own label range and a fresh kitchen to supply fish and other products to its stores. 

 

Ends

 

 

Contact:

 

Investors:

Steve Webb

+44 (0) 1992 644800


Chris Griffith

+44 (0) 1992 806149




Media:

Greg Sage

+44 (0) 1992 644454


Trevor Datson

+44 (0) 1992 646606

 

 

Notes to editors:

 

Tesco, headquartered in the UK, is one of the world's leading retailers and operates over 1,400 stores across five markets in Asia (China, Korea, Malaysia, Thailand and Japan). Worldwide, Tesco operates over 5,400 stores across 14 countries (including Japan) and employs nearly 500,000 people.

 

Tesco entered Japan in 2003 with the acquisition of the C2 Network, which ran stores under the Tsurakame brand.

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
 
 

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