Unions and shareholders alike aren't happy with Carrefour, the second-largest retailer in the world behind Walmart.
The Financial Times reports (sub. req.) that shareholders gave the go-ahead to sell Dia, its "hard discount" chain of stores, “at a stormy meeting where directors were grilled about the French group’s plans to transform its operations in Europe, and unions protested outside.”
At the same meeting, the chairman of the company, Amaury de Sèze, announced that he’s turning over his spot at the top of the org chart to chief executive Lars Olofsson.
Dia will go up for sale July 5, the Times reports. Carrefour also announced a rebranding of its branded stores in the United Arab Emirates.
As part of the effort, NACS reports that 16 of the Carrefour Express stores will be renamed Carrefour Market, according to the National Association of Convenience Stores (NACS).
The hope is to help customers see the stores in a new way “so that they are associated with fresh ingredients and choice, rather than just a range of basic grocery items,” according to NACS.
"Particularly in the Emirates, Carrefour is focusing on smaller stores to continue growth," Vincent Verdier, an analyst and director at Kantar Retail, said. "The opening of big 10,000 square foot markets will get reduced in the future. That's quite particular to the Emirates."
According to Euromonitor, Carrefour’s market share in the UAE has held at “8.7 percent of the UAE's market share in grocery sales, up from 6.4 percent in 2006.” In 2010, the company pulled in €90.10 billion ($128 billion) in revenue.