Woolworths sales slide

Woolworths announced earlier today, that since the profit warning in December, there has been little improvement in their performance.

Total Group sales for the six weeks to 13th January 2007, increased by 2.2%, while like for like sales in the Woolworths Retail Chain declined by 4.6%.

Woolworths said that the most challenging categories had been entertainment, including CD's and DVD's and seasonal confectionary where market weakness was driven by marked price deflation. Trevor Bish-Jones, Woolworths CEO stated "Woolworths Retail found some of its traditional markets more difficult, leading to disappointing like for like sales over the Christmas weeks.

Dsepite this, stock levels have been well controlled and we continue to improve our gross margins. We continue to work at building a better business through necessary investment in stores and sytems and the development of a multi-channel capability which is being rapidly embraced by our customers."