Metro’s Profits Dip
Toronto Grocery chain Metro Inc. reported a 6% dip in second-quarter profit on Tuesday. The company blamed competition in the province of Ontario for the loss. Canada’s third largest grocer said earnings fell to $57 million (C$58.1 million), compared to C$61.8 million for the same period last year. Canadian grocers have been hurt by a price-chopping campaign initiated by sector leader Loblaw Cos. The competitor has reportedly created this strategy to keep its customers from straying to Wal-Mart Stores.
Metro operates about 750 food stores under banners including Metro, A&P, Loeb, Food Basics and Marche Richelieu. It also runs about 260 pharmacies under the Brunet, Clini Plus, The Pharmacy and Drug Basics names.