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Source: The Wall street Journal
Aeon Cuts Costs to Post Profit
July 07 2010 - TOKYO—Japanese retailer Aeon Co. said Wednesday that it swung to a net profit for the first quarter ended May, underscoring how massive cost cuts and the sale of a women's apparel unit in the U.S. helped its bottom line.
Aeon posted a net profit of 19.27 billion yen ($219 million), compared with a year-earlier loss of 2.49 billion yen. Revenue fell 2.5% to 1.215 trillion yen from 1.246 trillion yen. Operating profit more than doubled to 21.78 billion yen from 8.72 billion yen.
The Japanese retail sector is feeling the pinch of a shrinking domestic market where an aging population and a slumping economy have eroded the customer base. As well, unstable weather and anemic consumption have pulled down sales. But 31.2 billion yen in cost cuts, along with the sale of loss-making Talbots Inc., helped Aeon's profitability.
Read more [http://online.wsj.com/article/SB10001424052748703636404575352162444026420.html]
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AEON CO., LTD.
Address: 1-5-1 Nakase Mihama-ku Chiba-shi, CHB 261-8515 Japan
Telephone: +81-43-2126085
Fax: n/a
About AEON CO., LTD.
AEON CO., LTD. is a Japan-based company mainly engaged in the general retail sale business, focusing on the operation of general merchandise stores (GMS). The Company operates in four business segments. The General Retail segment is engaged in the operation of GMS, supermarkets, convenience stores and department stores. The Specialty Store segment is engaged in the operation of specialty stores that offer women's apparel, family casual fashion clothing, health and beauty products, as well as shoes. The Developer segment is engaged in the development and leasing of commercial facilities. The Service and Others segment provides various services, including financial services, amusement services, restaurant services, store maintenance services and wholesale services..