NEW YORK – Wal-Mart Stores Inc. said this morning that it agreed to sell its German retail business, which consists of 85 supercenters, to Metro AG for an undisclosed sum. The deal is expected to generate a pre-tax, second-quarter loss for Wal-Mart of $1 billion.
Michael Duke, vice chairman of Wal-Mart, said in a statement that as the retailer focuses “efforts on where we can have the greatest impact on our growth and return on investment strategies, it has become increasingly clear that in Germany’s business environment it would be difficult for us to obtain the scale and results we desire.”
“This sale positions us to increase our focus on the markets where we can achieve our objectives,” Duke added.
For complete coverage, see Monday’s issue of WWD.