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Last Updated: Friday, 4 June, 2004, 10:09 GMT 11:09 UK
Safeway sales drop hits Morrisons
Safeway store
Morrisons has failed to stem the slide in sales at Safeway
Morrisons' takeover of Safeway has failed to arrest the decline at the chain's shops, industry figures show.

In the 12 weeks to 23 May, Safeway's market share fell to 8%, down from 8.2% in the 12 weeks to 25 April.

Market research firm TNS added that sales at Safeway's stores were down 8% on the year.

However, Morrisons has managed to grow its market share to 6.2% from 5.7% a year earlier, helped by sales growth of 15% over the year.

Sell-off

When the �3bn deal went through in March, Morrisons pledged to overhaul the 427-strong Safeway estate over the next three years.

In May, it sold off 14 Safeway sites to Sainsbury's to comply with anti-monopoly conditions set out by the Competition Commission.

According to the figures from TNS there was little change among the top three names.

Tesco extended its lead over its rivals slightly, taking a 27.6% share of the market - compared with 26.5% the previous month - with sales up 10% on the year.

Wal-Mart owned Asda saw its market share unchanged from a month earlier at 16.6% and Sainsbury was also unchanged at 15.5%.




SEE ALSO:
Morrison hands 14 stores to rival
14 May 04  |  Business
Morrisons kicks off stores revamp
23 Apr 04  |  West Yorkshire
Morrisons delivers profits rise
18 Mar 04  |  Business
Morrisons seals Safeway takeover
08 Mar 04  |  Business
Shareholders back bid for Safeway
11 Feb 04  |  Business
Morrisons in �3bn bid for Safeway
15 Dec 03  |  Business


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