Netto plans to become a nationwide store operator

Netto currently owns 94 stores with an average area of 500-600 square meters. The number is to increase to 100 by February 2006, but this marks only the opening salvo of its expansion. "Our shareholders are pleased with the results we achieve and want to significantly accelerate the development of the network in Poland," declared deputy director of Netto Polish division Sławomir Nitek. The plans for 2006 envisage the opening of 30 new stores and the construction of a large logistics center in the south of the country. From 2007 the company is to open 50 new stores a year and build another logistics center, this time in the center of the country. The company, the turnover of which is to exceed zł.1 billion this year, did not reveal the value of the planned investments. However, it seems certain that they will be considerable since Netto prefers to build new stores and logistics centers rather than adapt existing buildings. The company will also have to compete for the best locations with other retail discount networks, such as German Lidl, Portuguese Biedronka, and French Leader Price. (Puls Biznesu, p. 8) E.B.