Casino Group announces major transformation plan amidst financial restructuring

PARIS: Casino Guichard-Perrachon, commonly known as Casino Group, has unveiled a comprehensive transformation plan. The initiative comes on the heels of a challenging financial period marked by significant net losses and aims to realign the organization with its new focus on convenience store networks.

Strategic Organizational Changes

The plan outlines a series of strategic changes, including the pooling of support services between brands, re-internalization of skills, and a commitment to strengthen purchasing partnerships with Intermarché, with plans to extend these partnerships to Auchan. This restructuring is expected to bolster the Group’s purchasing power and market competitiveness.

Employment Protection and Modernization Efforts

A key component of the transformation is an employment protection plan, which seeks a balanced approach across various sites. While more than 1,000 jobs will be retained at the Saint-Étienne head office, the Group anticipates a reduction of 1,293 to 3,267 positions. To mitigate the impact, a proposed system for comprehensive, responsible, and personalized employee support has been introduced, alongside a significant €1.2 billion investment project aimed at modernizing stores by 2028.

Future Outlook and Growth

The transformation plan is not just about downsizing; it’s a forward-looking strategy to meet changing consumer expectations and reinvest in the Group’s sales outlets for future growth. The long-term goal is to enhance the customer experience and establish Casino as France’s leading convenience store retailer.

CEO’s Vision for the Future

Philippe Palazzi, CEO of Casino Group, expressed optimism about the plan, stating, “After the Group’s financial restructuring and its refocusing on convenience brands, this transformation plan represents a key step towards setting Casino on a new growth trajectory. We are going to invest significantly in our sales outlets by 2028 to modernize and make them people-focused.”

A Call for Collaboration

As the Group embarks on this transformation journey, it emphasizes the importance of cooperation with employee representatives and a positive social dialogue process. The ultimate aim is to achieve the transformation responsibly, with personalized support for all employees affected by the changes.

With these strategic moves, Casino Group is poised to navigate the complexities of the market and emerge as a more agile and customer-centric retailer.

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