Axfood acquires three stores in Uppsala

Axfood has acquired three Rätt Pris discount stores in Uppsala, with combined net sales of approximately SEK 390 m. The stores currently have a combined market share in Uppsala of 12%. The stores will be converted to Willys.

"This transaction marks Axfood's continued work on expanding the Willys chain while at the same time increasing the share of wholly owned stores," says Anders Nyberg, head of Business Development at Axfood AB. Takeover of the stores will take place on 1 May 2005. The stores are located on Björkgatan, Kungsgatan and in Gottsunda and will open as Willys in May. Anders Strålman, President of Willys AB, comments: "The people of Uppsala have had to wait a long time, so we are happy to finally have this opportunity to offer Uppsala Sweden's cheapest bag of groceries." The seller of the Rätt Pris stores is Gunnar Bergström, who opened the first store in 1992. "The Rätt Pris stores are doing well, but the market has changed and now is the right time to sell. The stores and the employees will have better prospects in a larger group, and Willys is a brand that has the competitive strength needed for this type of discount store," comments Bergström. The employees will be transferred to Willys in connection with the takeover. Willys is today Sweden’s largest discount food chain, with a wide range of products and a special focus on fresh products such as fruits and vegetables, meats, and dairy products. The stores have an offering of some 7,500 items, covering 95% of consumers’ annual food purchases. Willys offers Sweden’s lowest grocery prices. For further information, please contact: Claes Gabrielsson, Operations Manager, Willys AB, tel. +46-706-52 40 90 Anders Nyberg, Executive Vice President & Head of Business Development, Axfood AB, tel. +46-705-27 37 47 Gunnar Bergström, Rätt Pris, tel. +46-705-21 00 84 Kenneth Wall, Press Manager, Axfood AB, tel. +46-703-124 122