EXCLUSIVEBRANDSOURCING RETAILER/WHOLESALER ...

900 independent hardware stores). Also, Woolworths acquired Gunns Retail Division in
Tasmania, operator of five hardware stores, a timber joinery center, and a truss manufacturing
plant. Woolworths also purchased the Becks Timber and Hardware operation in Tasmania. In the
supermarket sector, the company has converted more than half its stores in Australia and New
Zealand to new formats, including the Countdown banner in New Zealand where 88% of the
stores are re-branded. The company also has put more emphasis behind its exclusive brands,
including the new Woolworth Select brand in grocery products as well as a new package design
for its Homebrand range. In fiscal 2011, some 70+ new products were introduced. Also, last year,
the retailer acquired Macro Wholefoods (seven store leases) and launched the Macro Wholefood
Market range in its supermarkets, now being expanded. Additionally, Woolworths acquired a 25%
stake in Gage Roads Brewery, which has since introduced a number new exclusive brands: Dry
Dock full strength, Sail & Anchor Clipper light, and Bolt low-carb beer, as well as Castaway cider
launched during the year. The Big W chain has added the optical products category in its stores
and introduced the new Mambo clothing and accessories range. In consumer electronics, the Dick
Smith stores are revamping their exclusive brand offering, as the company plans to exit the Tandy
store brand in fiscal 2012. Dan Murphy’s liquor outlets added 19 new stores, bringing the total to
140 in the chain. While Woolworths has had to deal with “macro economic circumstances”
resulting inh adverse effects on retailing, the company has continued to grow during fiscal 2011:
21 new supermarkets, 20 new Caltex alliance stores, and its acquisition in May 2011 of the
Cellarmasters group. The Christchurch earthquake in New Zealand forced the closing of seven
stores, burdening the company with A$38 million in added costs. Overall, Woolworths reported a
5.1% increase to A$2.1 billion in net profits after taxes. In January 2012, the company announced
plans to sell its Dick Smith electronics business, while its Big W discount outets would take over
the sales of electronics. Woolworths plans to focus more on its supermarkets, building its
profitable fresh produce offering, while also doubling its private label business.
Procurement Contacts: Greg Foran, General Manager, Merchandise Logistics, General
Merchandise & Private Label; Richard Umbers, General Manager, Buying & Marketing
X5 RETAIL GROUP
28 Srednyaya Kalitnikovskaya st. Bld. 4, Moscow 109029 RUSSIA
Tel: +7 495-662-8888
Fax: +7 495-662-8888 (Ext. 41-265)
www.x5.ru/en
Net 2009 Retail Sales: $8.7 Billion -2%; Pyaterochka Soft Discounter Sales: $4.7 Billion +5%;
Perekrestok Supermarket Sales: $2.3 Billion -15%; Karusel Hypermarket Sales: $1.7 Billion +1%
Percentage Sales in Exclusive Brands: 10%+ (E)