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METRO Cash & Carry Pakistan hosts the 2nd Supplier Conference

Lahore, June 2, 2009 – METRO Cash & Carry Pakistan invited suppliers from all over the country to its 2nd Supplier Conference to further reinforce its relationship with local business partners. It is one of the unique and biggest events of its kind within the country. The event was held at Pearl Continental Hotel, Lahore.

This conference touched many important areas regarding market trends, identifying the right customer and being beneficial to its suppliers according to METRO Cash & Carry’s business to business model.

This conference was held to develop an understanding that METRO Cash & Carry realizes the needs of its suppliers and adapts to provide much bigger sales opportunities for METRO’s suppliers. It created an awareness of how the self-service wholesaler works internationally to establish and increase the mutually beneficial “win-win” partnership situation with its suppliers.

With a population of 160 million and eight cities with more than a million residents, Pakistan is a huge potential market for METRO Cash & Carry. Today already, METRO Cash & Carry Pakistan is supporting the local industries by sourcing 80% of extensive assortment through local suppliers.

In line with the high importance of this Supplier Conference, 4 specific presentations were presented to cover a wide range of topics in detail and allow close-up encounters with the responsible METRO buyers and other managers. These presenters were Mr. Giovanni Soranzo, Managing Director METRO Cash & Carry Pakistan, Mr. James Scott, Regional Operating Officer (ASIA), METRO Cash & Carry International, Mr. Atila Yenisen, Director Offer Management and Mr. Umar Lodhi, Head of Customer Management.

The program of the Supplier Conference, the interaction and the information exchanged will lead to a better understanding of METRO Cash & Carry’s B2B concept and the path which the company wants to pursue with its suppliers. For this purpose three booths were set up under the departments of Administration, Operations and Customer Relations to interact with the suppliers, offer information about our systems and services and collect feedback.

The 2nd Supplier Conference further fortified the relationship of METRO Cash & Carry with its suppliers. This will result to meet the customer needs in a better way and furthermore develop an even stronger foundation for a more productive & transparent partnership with its suppliers.

The International success of METRO Cash &Carry along with a successful 2nd Supplier Conference will certainly contribute to the credibility of the company and spur the future prosperity of METRO Cash & Carry Pakistan and its suppliers.

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METRO Cash & Carry lays foundation for its first distribution centre in Pakistan

German self-service wholesaler to have first distribution centre on Multan Road near Thokar Niaz Beg, Lahore

Lahore, 4th April 2007 – METRO Cash & Carry Pakistan inaugurated its first distribution centre’s construction here at Multan Road near Thokar Niaz Beg with the presence of the Chief Minister of Punjab Chaudhry Pervaiz Elahi and the Lahore City District Nazim Mian Amer Mehmood. Also present at the ground breaking ceremony were the executive board of METRO Cash & Carry Pakistan, Mr. James Scott, Chief Operating Officer METRO Cash & Carry International Asia Pacific Region and Mr. Henry Birr, METRO Group’s Vice President International Affairs.

With its opening in Pakistan, the international market leader in self-service wholesale would be expanding its presence in Asia after China, Japan, Vietnam and India. The company is present in over 29 countries worldwide, with sales of over € 30.0 billion in 2006. It announced its operations in Pakistan in January 2006 after positive feasibility findings – with a population of over 160 million people, an improving infrastructure and a progressing economy; Pakistan was identified as a very promising market. The company intends to invest over € 150 million in wholesale centres in all major cities around the country over the next 10 years. Each store will occupy a space of around 10,000 square meters and an assortment of over 20,000 products under one roof including both food and non-food articles, especially focusing on fresh food products.

Cash & Carry wholesale is characterized and defined through its customer base: only commercial customers are allowed to purchase at METRO Cash & Carry, all of them duly registered and provided with a customer card. This means that METRO Cash & Carry does not sell to private end consumers. The core customers are small and medium-sized retailers as well as the hotel, restaurant and catering business and other companies and institutions. For them the METRO Cash & Carry distribution network promises much greater efficiency than the multilayered supply chain. They can purchase the goods more flexibly and at more favourable prices compared with the traditional procurement sources. As a result, METRO Cash & Carry strengthens the competitiveness of its professional customers.

METRO Cash & Carry Pakistan’s first distribution centre will herald a new era of wholesale in the Pakistan. The company’s unique business model focuses on the provision of quality products for its customers at low prices making METRO Cash & Carry the most efficient procurement facility for professionals and businesses (B2B). Furthermore, the company’s business concept complements and enhances the existing consumer goods distribution structures in a country. METRO Cash & Carry strengthens local suppliers by building their capabilities and providing them with marketing opportunities – most of the products offered at METRO Cash & Carry will be produced locally. Therefore, METRO Cash & Carry will benefit the country and strengthen local supply chains as well as the market. In terms of employment, each store would employ over 300 local personnel. A further 150 persons will be employed for auxiliary services as well as 200 people at the company’s country headquarters in Lahore.

METRO Cash & Carry has committed itself to a long term partnership with Pakistan and its people which was echoed in its donations of €200,000 for both the President’s Earthquake Relief Fund and the Chief Minister’s Family Relief Project for Earthquake Victims. METRO Cash & Carry also plans to run a farmer training program intended to build the capacity of farmers by improvements in marketing and supply chain. This will help Pakistani farmers produce export quality fruits and vegetables that will be able to compete in the international market.

Mr. Scott said that the company was highly grateful to the people and Government of Pakistan as well as the Government of the Punjab for their hospitality and support. The governments’ policies on attracting foreign investment have done wonders for the country’s economy. Current economic trends show potential and coupled with the Government’s sound policies, Pakistani people will benefit over the long term. He emphasized that the partnership between METRO Cash & Carry Pakistan and the Government was strong and together the two can bring prosperity to the region and the whole country.

METRO Cash & Carry celebrated ground breaking of its Islamabad wholesale center

Islamabad, 23rd August 2007 – METRO Cash & Carry Pakistan celebrated the ground breaking of its first wholesale center in Sector I-11/4, Islamabad under the patronage of Chairman Capital Development Authority, Mr. Kamran Lashari. Mr. James Scott, Regional Operating Officer METRO Cash & Carry International Asia Pacific Region and the executive board of METRO Cash & Carry Pakistan were also present at the event.

METRO Cash & Carry’s wholesale center in Islamabad is planned to open in December 2007 and will be the company’s second location in Pakistan. The internationally leading self-service wholesaler will open its first location in Lahore, located on Multan Road near Thokar Niaz Beg. With its market entry in Pakistan, METRO Cash & Carry is expanding its presence in Asia. The company is already present in China, Japan, Vietnam and India. In total METRO Cash & Carry is present in 29 countries worldwide, with sales of about € 30.0 billion in 2006.

The unique wholesale business to business model of METRO Cash & Carry is focused only towards commercial customers such as hotel and restaurant owners as well as small and mid-sized retailers and other service companies. METRO Cash & Carry offers members of this target group a greater efficiency than the multilayered supply chain thus helping them to improve their business: By offering them a one-stop solution for their purchases, by helping them to improve their assortment, by offering them high quality products at reasonable and transparent prices and by offering them a reliable supply source. As a result, METRO Cash & Carry strengthens the competitiveness of its professional customers.

METRO Cash & Carry also strengthens local suppliers by building their capabilities and providing them with marketing opportunities – up to 90 percent of the products offered will be supplied locally. METRO Cash & Carry also plans to run a farmer training program intended to build the capacity of farmers by improvements in marketing and supply chain. This will help Pakistani farmers produce export quality fruits and vegetables that will be able to compete in the international market. Moreover, each wholesale center will employ about 300 people from the local community. A further 150 persons will be employed for auxiliary services as well as 200 people at the company’s country headquarters in Lahore.

Market Entry in Pakistan

METRO Cash & Carry opens first wholesale center in Lahore

Lahore, 30th October 2007 – On Wednesday, METRO Cash & Carry inaugurates its first wholesale center in Lahore. Pakistan is the 29th country, where the international market leader in self-service wholesale is present. METRO Cash & Carry’s concept is tailored to the special needs of commercial customers from Pakistan.

“We see a great potential and an impressive growth perspective for our self-service wholesale in Pakistan”, said Thomas M. Hübner, CEO of METRO Cash & Carry. “We are firmly convinced that our concept, which is focussing on commercial customers, will be successful in Pakistan and useful for the country, even more as it supports the development of the local economy.”

The new METRO Cash & Carry wholesale center in Lahore features more than 10,000 square meters of selling space and offers a comprehensive product range of more than 20,000 food and non-food articles. The focus on local suppliers, which is typical for METRO Cash & Carry worldwide, is also pursued in Pakistan. Around 80 percent of the goods on display in Lahore originate from Pakistani producers and distributors.

The METRO Cash & Carry wholesale center in Lahore employs 300 people from the local community. Moreover, 200 people are working at the company’s country headquarters which is also located in Lahore. The capital investment for the first METRO Cash & Carry wholesale center in Pakistan amounts to about 15 million Euro. In December, METRO Cash & Carry will open its second location in Islamabad. If all pre-conditions like the allocation of real estate are met, METRO Cash & Carry sees a potential to open up to ten wholesale centers in mid-term in Pakistan.

Cash & Carry wholesale is defined through its customer base: only commercial customers are allowed to purchase at METRO Cash & Carry, all of them duly registered and provided with a customer card. This means that METRO Cash & Carry does not sell to private end consumers. It is not a super- or hypermarket chain for private consumption, but a modern form of wholesale exclusively tailored to the needs of businesses and companies. “Professionals serving professionals” is the company’s motto. The core customers are small and medium-sized retailers as well as hotels, restaurants and caterers and other companies and institutions.

Contrary to the traditional delivery wholesale, METRO Cash & Carry’s customers select their merchandize at the wholesale center in the quantities they need, pay in cash and transport their purchase back to their businesses by themselves. Products of any type are offered on a permanent basis and in large quantities. “The assortment on display is adjusted to the respective regional consumer habits and customer expectations because METRO Cash & Carry procures most of the merchandize from local manufacturers and distributors – and this counts for Pakistan as well”, said James Scott, Regional Operating Officer METRO Cash & Carry Asia.

METRO Cash & Carry Pakistan opens first wholesale center in Islamabad

Islamabad, 3rd April 2008 – Today, METRO Cash & Carry, the international leader in self-service wholesale, opened its first outlet in Islamabad in Sector I-11/4, near the Railway Carriage Factory. The company exclusively caters for professional customers like hotels, restaurants and small retailers like Kiryana stores. The assortment and services are tailored to the special needs of this target group. Islamabad is METRO Cash & Carry’s second wholesale center in Pakistan.

“With a population of over 170 million people and eight cities with more than a million residents, Pakistan is a very attractive and important market for our company”, said Frans Muller, CEO of METRO Cash & Carry International. “We see a huge potential for the expansion of our business-to-business wholesale concept in this country. Along with expansion, we also aim to contribute to the dynamic economic development of Pakistan.” If all pre-conditions like the allocation of real estate are met, METRO Cash & Carry sees a potential to open up to ten wholesale centers in mid-term in Pakistan. On average, the capital investment for a new METRO Cash & Carry outlet is 20 million Euros.

Islamabad is METRO Cash & Carry Pakistan’s second location after Lahore where the country’s first wholesale center opened in October 2007. The new METRO Cash & Carry wholesale center in Islamabad features more than 10,000 square meters of selling space and offers a comprehensive product range of more than 20,000 food and non-food articles. The focus on local suppliers, which is typical for METRO Cash & Carry, is also pursued in Pakistan. Around 80 percent of the goods on display originate from Pakistani producers and distributors. Each METRO Cash & Carry wholesale center employs 300 people from the local community. Moreover, 200 people are working at the company’s country headquarters in Lahore.

METRO Cash & Carry wholesale centers are open exclusively for professional customers, all of them duly registered and provided with a customer card. This means that the company does not sell to private end consumers. The core target group comprises hotels, restaurants, caterers as well as Kiryana stores and other small retailers. At METRO Cash & Carry‘s wholesale centers they can find everything they need to run their business under one roof. Moreover, the company offers a constant availability of highest quality products at competitive wholesale prices. For instance Kiryana stores can use METRO Cash & Carry as their warehouse and utilize their free capital for their businesses, rather than lock it up in inventory. The company’s unique business-to-business concept also caters to the professional work schedule with extended opening hours of up to 15 hours a day. “By this means we clearly help our professional customers to increase their competitiveness and thereby strengthen their own business”, said James Scott, Regional Operating Officer Asia, METRO Cash & Carry International.

Contrary to the traditional delivery wholesale, METRO Cash & Carry’s customers select their merchandize at the wholesale center in the quantities they need, pay in cash and transport their purchase back to their businesses by themselves. Products of any type are offered on a permanent basis and in large quantities.