KESKO CORPORATION STOCK EXCHANGE RELEASE ... - Euroland

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million). In Sweden, K-rauta AB (former Kesko Svenska AB)
continued to show a loss. Investments totalled EUR 2.8 million.
Net sales in Finland fell slightly short of target, mainly as a
result of the late start to the season. A new chain operating
system was adopted at the beginning of the year. At the end of
the period under review, 45 stores were included in the K-rauta
chain and 105 stores in the Rautia chain. The sales volumes of
these chains will be at almost the same level after the reform
has been implemented. A new K-rauta store is under construction
in Ruoholahti, Helsinki.
The net sales of K-rauta AB in Sweden were EUR 9 million, a
growth of 32 percent. K-rauta AB now has 8 K-rauta stores
operating in Sweden. New K-rauta stores will be opened in
Helsingborg in May and in Göteborg in the autumn.
Fanaal AS in Estonia and Fanaal A/S in Latvia, a company acquired last year,
increased their sales. Kesko now has five stores in Estonia and one in Latvia.
The business operations and real estate of Räni Ehituskaupa in Tartu, Estonia
were acquired and a new store was built in its premises. A store in Lasnamäe,
Tallinn will be extended. Construction will begin on the first K-rauta store in
Riga in the summer.
Key focal areas of Rautakesko in 2001 include category
management and information systems development.
Internationalisation and investment in Internet operations and
business-to-business operations are of particular strategic
importance.
Rautakesko´s net sales are expected to increase in 2001, despite
the slackening rate of construction. Growth will be sought from
the Swedish and Baltic operations in particular. The operating
profit is forecast to improve.
Keswell
Keswell’s net sales were EUR 154 million, a decrease of 6.1
percent. Keswell´s operating loss was EUR 11.9 million. During
the same period in 2000, the operating loss was EUR 10.9
million. Investments totalled EUR 7.3 million. Keswell Ltd
started as an independent company on 1 April 2001.
The net sales of the Anttila Group were EUR 98 million, a
decline of 0.1 percent. The online trade and mail order business
developed the most favourably. The net sales of online trade
quadrupled, while the mail order business grew by 34.9 percent.
The sales of the Kodin Ykkönen department stores for interior
decoration and home goods increased by 25.5 percent, partly due
to the two new department stores opened in the previous year.
The sales of the Anttila department stores were down by 7.4%.
The Anttila Group´s operating loss was EUR 10.0 million, while