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Tesco’s move shows its operation diverging from rivals such as No. 4 player Morrisons, which emphasizes its army of trained butchers, fishmongers and other specialists who prepare food in-store. Tesco said that contrary to media reports it did not plan to make any changes to its in-store bakeries this year. But it said it did require fewer staff for stock control, merchandising and at its head office customized cufflinks india. Those employed by third party caterers serving hot food in Tesco staff rooms would also lose their jobs as the retailer cuts that service..
All of Britain’s big four food retailers – including No. 2 Sainsbury’s and No. 3 Asda who want to combine – are chasing efficiency savings to fund price cuts so they can better compete with discounters Aldi and Lidl, who are still winning market share. Tesco set out a plan in October 2016 to reduce operating costs by 1.5 billion pounds ($2 billion) over three years through efficiencies in its distribution network and stores and from procurement savings customized cufflinks india. It needs the cost savings to help achieve its target of a group operating margin of 3.5 percent to 4.0 percent by the 2019-20 financial year, up from 2.9 percent in 2017-18..
Bernstein analyst Bruno Monteyne estimated the cost savings of Tesco’s latest program to be 150 million to 170 million pounds a year, with a 50 million pounds restructuring charge taken in the 2018-19 accounts customized cufflinks india. He reckons 70 percent of the benefits will be felt in 2019-20, leaving further margin upside for 2020-21. “Anybody doubting the Tesco margin recovery should think again,” he said. Shares in Tesco, up 5 percent over the last year, were down 1.5 percent at 1535 GMT. ($1 = 0.7601 pounds)..
PARIS (Reuters) – Efforts by Alstom and Siemens to create a European rail champion could yet hit the buffers despite their latest concessions to try to address antitrust concerns. The merger aims to create the world’s second largest rail company — with combined revenues of about 15 billion euros ($17.1 billion) — but the deal has met opposition since it was announced in September 2017 customized cufflinks india. In a statement on Monday, France’s Alstom confirmed that last-minute concessions had been offered, but sounded a note of caution, adding: “There is, however, still no certainty that the content of this package will be sufficient to alleviate the concerns of the (European) Commission.”..
People familiar with the matter said last week that the European Union competition watchdog would block the deal, with a decision likely on Feb. 6, before the Feb. 18 deadline. German politician Manfred Weber, leader of the European People’s Party in the European Parliament, said the latest proposals were a good way forward customized cufflinks india. But a senior EU official cautioned that if the new concessions did not completely remedy problems raised by a market inquiry, the EU competition office will have no room for maneuvers..