X5 Retail Group has suffered more than any other retailer from the customer attrition,which was registered in Q3 2011. Moreover the company is expecting further lowering of LFL sales in Q4 2011. X5 Retail Group has lowered the forecast of growth in revenues for 2011: instead of 40% the revenues are expected to grow by 35%. After the company had announced this news its capitalization dropped by 15%.
X5 Retail Group blames the Russians’ purchasing power which has decreased due to the unstable economic situation in Russia and in the world – a trend which is observed on the Russian food retail market.
Source: www.retailer.ru