Monday, 21 April 2014

Co-op Admits 'Disastrous Year' Amid £2.5bn Loss

A Co-opertaive food store

The embattled Co-operative Group has confirmed a loss of £2.5bn for 2013, in what it described as a "disastrous year".
The loss comes on the back of a £529m figure recorded in its 2012 results.
Interim group chief executive Richard Pennycook said: "2013 was a disastrous year for the Co-operative Group, the worst in our 150-year history.
"Today's results demonstrate that but they also highlight fundamental failings in management and governance at the group over many years.
"These results should serve as a wake-up call to anyone who doubts just how serious the challenges we face are."
It said most of the losses were from "discontinued operations" of its banking arm, which totaled £2.1bn.
Group sales were £10.5bn, down from the £11bn recorded in the previous year.
Profit from its food division were down 8% at £247m but it also recorded a goodwill impairment charge of £226m for its purchase of Somerfield stores.
The Co-operative Group divisions

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