Latin America

So as to accomplish our mission, Cencosud has entered three important markets in Latin America: Brazil, Colombia, and Peru, consolidating its presence in 5 different countries.

The first step in this expansion process was taken in May, after signing an agreement with the French multinational corporation Casino Guichard Perrachon S.A. (Inc.), in order to develop the home improvement business and construction material sales in Colombia. Together, they created the Easy Colombia partnership with 70% of the shares held by Cencosud and the remaining 30% by Casino, which makes Cencosud responsible for managing the company. The company has an investment plan of US$200 for the next 5 years which considers the opening of 15 Easy stores in that country.

In Colombia

During the process, an essential and well-balanced work team from Cencosud and local executives was created constituting the RD, Finance, IT and Commercial departments. Also, during 2007, its business plan was developed and two plots of land were purchased, one in Bogota and another in Villavicencio.

In Brasil

Cencosud’s expansion also took place in one of the most important South American markets, Brazil. In November, the GBarbosa supermarket chain was purchased. This supermarket chain has supermarkets and superstores in Northeast Brazil and 46 stores which are distributed between the states of Alagoas, Bahia and Sergipe. The operation involved the transfer of all the company’s shares, the acquisition of the company’s capital assets, stock, personnel, marketing rights, brands and all those assets that guarantee the company’s proper management.

In Perú

In December, Cencosud signed a purchase agreement with the Wong Group in Peru. The Wong supermarket chain runs supermarkets, hypermarkets and shopping centers located mainly in Peru’s capital city, Lima. Wong Group has 60% market participation with 48 stores and a sales area of more than 170,000 square meters.