Hugo Chavez expropriated a subsidiary of Casino

After the oil, energy, steel and telecommunications, Hugo Chavez continues its process of nationalization of enterprises. The socialist Venezuelan president ordered Sunday the expropriation of the hypermarket chain Franco-Colombian Exito, owned by Casino, which it accuses of having increased its prices for "speculation." Until when will we allow a multinational come to that here? This should go under control of the nation, "Chavez said during his radio program broadcast weekly" Alo Presidente (Hello President).The Venezuelan president had already used this forum a year ago, to threaten international companies, namely Nestle and Parmalat, which he considered responsible for the shortage of milk in his country.

Following the devaluation of the bolivar, the local currency last January 8, Hugo Chavez had threatened that any company would increase its prices by improperly expropriation. The bolivar is trading now at 2.60 Bolivars to the dollar for imports of commodities (health, food, equipment) and 4.30 Bolivars for others (cars, telecommunications, electronics, tobacco, beverages … ).

The Casino Group is present in the Venezuelan market since 2000 through Exito hypermarkets but also Cada supermarkets, leaders in their segment.In total, 60 stores in Venezuela owned by Casino have achieved in 2008 a turnover of 741 million euros, or about 2.6% of total turnover of the group.

The Casino must submit on Monday after-hours trading, its annual sales and one for the fourth quarter of 2009.

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