FRANKFURT Jan 16 German retailer Metro
announced the end to its consumer electronics plans in
China as it reported a 0.5 percent rise in fourth quarter sales,
following a subdued start to the Christmas trading period.
Metro said it would be setting aside provisions for the
withdrawal of its Media-Saturn chain of electricals stores from
China, where tough price competition means it is hard to make a
"This decision was prompted by the experiences and forecasts
from the two-year test phase that expired at the end of
December," Metro said on Wednesday.
News of the plans, first revealed by Reuters, had pushed
Metro shares higher last week.
In its customary post-Christmas trading statement, the group
reported fourth-quarter sales of 19.4 billion euros ($25.9
billion), giving a full-year total of 66.7 billion, slightly
below analysts forecasts in a Reuters poll.
Analysts had expected the group to report a 1.9 percent rise
in fourth-quarter sales to 19.62 billion euros, while the
consensus for full-year sales was for 67.0 billion, compared
with a revised 65.9 for 2011.
($1 = 0.7492 euros)
(Reporting by Victoria Bryan)