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Same Store Sales growth positive in January and February 2009

Pantaloon Retail (PRIL) recorded positive Same Store Sales (SSS) for the two consecutive months of January and February 2009, after having plunged and recorded negative growth in November 2008 and ruling weak in December 2008. Amidst the ongoing economic slowdown, Pantaloon’s Lifestyle Retailing Segment sprung a surprise registering higher SSS growth than Value Retailing in January 2009.

The Lifestyle Retailing Segment reported a better performance on the back of the month-long Great Indian Shopping Festival held by the Future Group in December 2008- January 2009 and increased consumer confidence compared to the last quarter of CY2008. The Segment witnessed healthy yoy SSS growth of 12% in January 2009 v/s 14% degrowth registered in December 2008. On the other hand, the Value Retailing Segment witnessed yoy SSS growth of 4% in January 2009 as against 3.6% degrowth in December 2008.

The positive trend continued in February 2009 with the Value and Lifestyle Retailing Segments recording yoy SSS growth of 5.3% and 4.4%, respectively. The sustained sales growth in February 2009 can also be attributed to aggressive pricing, continuous promotional efforts and availability of more credit for consumers following softening of Interest rates. Pertinently, on a yoy basis, SSS growth of PRIL Standalone is nearing July 2008 levels which is an indicator of revival in consumer sentiment.

To see full report: PANTALOON RETAIL