Casino's Weak Profit Raises Risks for Rallye's Debt Outlook
Added 01-17-20 04:04:02am EST - “(Bloomberg) -- Want the lowdown on European markets? In your inbox before the open, every day. Sign up here.Rallye SA's prospects to exit creditor protection suffered a blow after bondholders rejected its plan and French grocer Casino-Guichard…” - Finance.yahoo.com
CLICK TO SHARE
(Bloomberg) -- Want the lowdown on European markets? In your inbox before the open, every day. Sign up here.
Rallye SA’s prospects to exit creditor protection suffered a blow after bondholders rejected its plan and French grocer Casino-Guichard Perrachon SA reported weaker-than-expected earnings.
The supermarket operator said earnings of its French retail business rose 5% last year, half the rate it had forecast. Strikes and protests in its home market weighed on sales. Casino shares plunged as much as 13%, the steepest drop in more than a year.
Separately, in a non-binding vote held in Paris, Rallye failed to win support in four out of five euro bond classes, the company said on Thursday, confirming an earlier report by Bloomberg News.
Rallye and other Casino holding companies were placed under creditor protection in May to save the group from collapse. Casino’s weakening performance threatens its ability to restart paying dividends, which have been Rallye’s lifeline, according to Fabienne Caron, an analyst at Kepler Cheuvreux.
Anonymous comments are welcome, just check the "Comment Anonymously" box before submitting your comment. Note: Comments are free and open until someone ruins it. Don't dox, promote violence, etc. Be nice and have fun.
CLICK TO SHARE