Forum Archive Index - June 2001

["DR" <kat47@bigfoot.com>]

LONDON (AFX) - WH Smith PLC, the retail group, said it has acquired New
Zealand's Blue Star Consumer Retailing Group for 38 mln stg (126 mln nzd) cash.
    Blue Star is the leading bookseller in Australia and New Zealand, said WH
Smith. It operates primarily under two brands, Angus & Robertson in Australia
and Whitcoulls in New Zealand. It operates 184 wholly owned stores and has over
2,000 employees.
    In the year to April 2001, Blue Star generated sales of 112 mln stg and
proforma earnings before interest, tax and depreciation of 5.5 mln stg.
    WH Smith said it will retain Blue Star's management team.
    The purchase is part of WHSmith's strategy to develop its businesses
internationally. WH Smith has traded in the U.S. for 15 years under the WHSmith
brand and has recently been building a position in Asia and Australia.
    Richard Handover, WH Smith group chief executive, commented: "We have
identified international retail expansion as a growth opportunity. Our strategy
is to focus on three key areas - travel locations, English language bookshops
and high street locations in English speaking territories. As a book retailer in
both high street and travel locations, Blue Star is an excellent fit."
   

D.