Centra achieves record sales of €1.383 billion

€65 million investment and 1,000 jobs to be created in 2008

Brand development, range innovation, value for money focus and local community involvement drive brand forward

Centra, the number one independent convenience retail chain in Ireland, has announced a record sales performance for 2007 in the Republic of Ireland of €1.383bn, an increase of 15.1% on its 2006 performance. The results were announced by Donal Horgan, Managing Director of Musgrave Retail Partners Ireland, at Centra’s national conference, which was attended by over 440 Centra retail partners.

In 2007, Centra and its independent retail partners made a significant contribution to communities and local economies across Ireland, with record levels of investment. Key highlights for Centra and its retail partners included:

• Sales up 15.1% to €1.383 billion in 2007, with like-for-like growth of 8.1%
• Centra growth significantly ahead of the grocery market, which grew by 7% in 2007

• €67 million invested by Centra’s independent retail partners in 2007 - €50 million in the opening of 47 new stores, with a further €17 million invested in the revamp and extension of 82 stores

• 1,200 jobs created in 2007 in communities across Ireland

• A further 1,000 jobs are to be created in 2008 bringing to 14,000 the total number of people employed across the Centra network

• In 2008 44 new Centra stores are planned, backed by an investment package of €65 million - €45 million for new stores, with €20 million set aside for the revamp and extension of 80 existing stores

Speaking at the conference, Mr. Horgan said Centra’s sales performance in 2007 demonstrated the success of the group’s innovative retail model and highlighted its ability to deliver on its promises of range, value and service to consumers despite rising business costs and an extremely competitive retail environment.

"This year’s record sales performance demonstrates the continued success of our brand, which we have achieved through our partnership with our entrepreneurial retailers and by dedicating ourselves to providing the best convenience shopping experience for consumers, regardless of where they live in Ireland.”

“The repositioning of the Centra brand around the concept of ‘Bright Ideas For Everyday Living’, has led to many new developments in fresh food and services. We have worked hard with our retail partners to significantly expand our fresh food convenience offer through the extension of our ‘Good to Go’ range and the introduction of our ‘Simply Cook’ meal solutions range. “

“These range developments meet the needs of our increasingly health conscious, but time pressed shoppers. Other developments have included the re-launch of Centra’s own brand range, including its ‘Rite Price’ value range, as well as the introduction of additional in-store services.” added Mr. Horgan.

Looking forward to 2008 Mr. Horgan concluded; “By meeting the needs of local communities and providing choice, depth of range, value and excellent service in a modern, convenient location, we look to 2008 with confidence, despite the ever increasing competition in the market. We will continue to evolve our store network to reflect the new Centra brand proposition and roll out new products and in-store services to meet the growing needs of Irish shoppers. We are uniquely positioned to meet their expectations due to the fact that our network of independent retail partners operate at the heart of their local communities, understand local needs and are dedicated to the communities in which they live and operate their businesses.”

During 2007 Musgrave also made a significant contribution to the Irish economy and Irish suppliers with 75% of all products purchased by Musgrave on behalf of all its retail partners at Centra, SuperValu, Daybreak and DayToday, either produced or manufactured in Ireland. This represents total purchases from Irish suppliers in excess of €2.85 billion at retail level, serving to both create and protect Irish jobs and livelihoods.

Additionally, as part of the rollout of its sustainability strategy, Musgrave Retail Partners Ireland on behalf of its network of independent Centra retailers reached a number of significant milestones. A sustained focus on recycling resulted in 68.5% of the 27,000 tonnes of waste normally captured for landfill diverted for recycling.