FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For the month of January, 2000
Brazilian Distribution Company (Companhia Brasileira de Distribuicao - CBD)
(Translation of Registrant's Name Into English)
Av. Brigadeiro Luiz Antonio,
3126 Sao Paulo, SP 01402-901
Brazil
(Address of Principal Executive Offices)
(Indicate by check mark whether the registrant files or will file
annual reports under cover of Form 20-F or Form 40-F.)
Form 20-F [X] Form 40-F [ ]
(Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the information to
the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.)
Yes [ ] No [X]
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
COMPANHIA BRASILEIRA DE DISTRIBUICAO
Date: January 25, 2000 By: /s/ Augusto Marques da Cruz Filho
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Name: Augusto Marques da Cruz Filho
Title: Chief Financial Officer
By: /s/ Ricardo Florence dos Santos
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Name: Ricardo Florence dos Santos
Title: Market Relations Officer
Companhia Brasileira de Distribuicao (CBD)
Announces December 1999 Net Sales
Grupo Pao de Acucar
Investor Relations
3,126 Av. Brig. Luis Antonio
1st floor - Jd. Paulista
Sao Paulo - SP - Brazil
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Sao Paulo, Brazil, January 14, 2000 - Companhia Brasileira de Distribuicao
(NYSE:CBD, BOVESPA:PCAR4) today announced preliminary, non-audited December 1999
net sales figures. The information discussed below represents net sales
variations of CBD all store and same store formats.
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December 1999 total net sales (banner sales, including affiliated company) in
nominal currency totaled R$754.2 million, a 27.7% increase compared to the same
period in 1998. Accumulated net sales for 1999 reached R$5,830.2 million,
representing a 31.6% increase compared to the same period in 1998.
December 1999 same store net sales decreased by 0.6% compared to December 1998.
Accumulated sales in 1999 showed a 4.5% increase compared to the same period in
1998.
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HIGHLIGHTS
Number of clients grew 34.9% compared to December 1998. December 1999 same store
sales decreased 0.6%
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Net Sales by Division 1999/1998 - Variation (%)
(Preliminary, non-audited)
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Nominal Currency
Corporate Law
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December Fourth Quarter
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All Same All Same
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Pao de Acucar 9.8% 3.8% 9.4% 4.7%
Barateiro 102.0% 8.3% 70.4% 3.1%
Extra 36.7% -2.7% 42.5% -0.5%
Eletro -17.8% -17.6% -12.8% -12.5%
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CBD 27.7% -0.6% 28.4% 0.8%
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2
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Nominal Currency
Corporate Law
----------------------------
1999 Accumulated
All Same
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Pao de Acucar 19.3% 11.0%
Barateiro 135.6% 7.4%
Extra 51.2% 1.6%
Eletro -3.4% -16.0%
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CBD 31.6% 4.5%
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CBD total net sales reached R$673.1 million in nominal currency in December
1999, representing a 14.0% increase compared to December 1998.
CBD has been adopting the IGP-DI index to calculate its constant currency sales.
The IGP-DI index is also used by ABRAS (Brazilian Supermarket Association) to
calculate total sales evolution for the sector. Taking into consideration
existing discrepancies between the IGP-DI and inflation indices which best
represent the sector's price evolution, ABRAS has been developing studies aimed
at a possible change of the indexer. Assuming that ABRAS confirms this change,
CBD will also adopt the same indicator to present its sales performance in real
terms upon completion of the ABRAS studies.
Factors that contributed to these results include:
o The Pao de Acucar division continued to present a positive performance
despite last year's strong comparative basis (nominal growth reached 21.6%
in December 1998). This reflects the positive effects of efforts aimed to
continue increasing the Company's customer base through investments made to
store remodelings and improvements in customer service.
o Extra hypermarkets were negatively affected by the strong comparative basis
during December 1998 when the chain's sales increased due to celebration of
new store openings (5 hypermarkets were opened, 4 stores were converted
from the Barateiro format, and one store was converted from the retired
Superbox format during this period).
o Stores of the Bareteiro division presented the best performance compared to
CBD's other divisions, reflecting a more established brand recognition and
benefits from the store remodeling process (project "New Face").
o The Eletro division continued to be negatively affected by the Brazilian
macro economic scenario. The division's performance is expected to improve
going forward as a result of lower interest rates, currency stabilization,
and store remodeling process ("Eletro of the Future").
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3
Net Sales Evolution by Division 99/98 - Variation (%)
(Preliminary, non-audited
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Constant Currency
Indexed by IGP-DI
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December Fourth-Quarter
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All Same All Same
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Pao de Acucar -10.7% -13.5% -8.1% -11.3%
Barateiro 63.6% -9.7% 42.5% -12.7%
Extra -7.0% -18.8% 11.3% -15.7%
Eletro -31.5% -31.3% -26.2% -25.9%
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CBD -5.0% -17.1% 3.9% -14.6%
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Constant Currency
Indexed by IGP-DI
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1999 Accumulated
All Same
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Pao de Acucar -7.6% 0.4%
Barateiro 111.8% -4.9%
Extra 32.5% -8.1%
Eletro -13.0% -24.8%
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CBD 17.0% -5.7%
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Form of Payment
1988 3Q99 Oct/99 Nov/99 Dec/99
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Cash 51.6% 55.9% 55.5% 56.7% 58.6%
Credit Card 21.7% 22.8% 23.0% 23.3% 21.6%
Food Voucher 7.5% 6.2% 6.2% 5.5% 5.2%
Credit 19.2% 15.1% 15.3% 14.5% 14.6%
Post-dated Checks 13.5% 10.5% 10.4% 9.3% 8.8%
Installments 5.7% 4.6% 4.9% 5.2% 5.8%
Companhia Brasileira de Distribuicao and its affiliated company operate a total
of 349 stores in 11 Brazilian states through three formats. In addition to Pao
de Acucar and Barateiro supermarket divisions, CBD operates Extra hypermarkets
and Eletro home appliance stores.
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4
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Ricardo Florence dos Santos Rosemary Otero
Investor Relations Director - CBD Edelman Financial
Tel: (55-11) 886-0421 Fax: (55-11) 884-2677 Tel: (212) 704-4486
Email: [email protected] Fax: (212) 766-1025
Email: [email protected]
Fernando Tracanella Monica Lopes
Tel: (55-11) 886-0421 Tel: (212) 704-4428
Email: [email protected] Email: [email protected]
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Website: http://www.grupopaodeacucar.com.br
