Auchan to build 30-40 more markets at zl. 600 million

Auchan Polska of the French trade group is planning to increase its hypermarkets in Poland from the current six outlets to 30 or even 40. It will spend zl. 600 million for investment next year alone. According to Thierry Martin, director for Auchan's development in Central Europe, the company should reach its expansion target by 2007 or 2008, which will entail opening 4 to-5 new markets annually. The company is planning to catch up with competitors such as Metro AG, which has already opened 23 Real hypermarkets in Poland. According to Martin, the estimated cost of opening one hypermarket is about zl. 100 million. "The whole investment will be financed from our headquarters in France. However, we hope that by 2004 or 2005, Auchan Polska will produce enough revenue to finance further investment on its own." Auchan locates its hypermarkets near large cities and does not plan to change this strategy, but its partner Shiever Polska wants to open outlets in smaller cities with populations less than 120, 000. (Puls Biznesu, pp.1,8)