São Paulo, January 21, 2004 (Agência Brasil - ABr) - The supermarket sector ended the year of 2003 with earnings of R$ 87.2 billion, 4.5% less than in 2002. According to the president of the Brazilian Association of Supermarkets (Abras), João Carlos de Oliveira, this was the worst index recorded since 1991.

Oliveira attributed the result to the increase in unemployment and consumer debt, the drop in production, and the increase in public utility rates, as well as tightened family budgets. " Even though they continue to go to the supermarket with the same frequency, people began buying less and substituting cheaper products for more expensive ones," he observed.

Abras found that sales grew 32.01% in December in comparison with November, but, in real terms (correcting for inflation), they were down 6.82% in comparison with December, 2002. (DAS)