Tesco Lotus reaffirms Thai commitment, expansion plan

"However, similar to other parts of the world, things stop getting worse, and that's a good sign," CEO Steve Hammett said. The British giant will go ahead with plans to spend about Bt7 billion this year in expanding both its hypermarket and express stores.

That will not only create 3,000-4,000 jobs, but also provide more opportunities for vendors, of which 98 per cent are Thais, as well as tenants, service providers and constructors.

"If everything goes well, five to six hypermarkets as well as 40 express stores will be opened in our fiscal year ending February next year," Hammett said.

This year's capital expenditure budget is a bit less than last year but is still a significant investment programme, he said. The company runs 80 hypermarkets and 480 other retail outlets, including Value, Talad Lotus and Express stores.

"The recession is an opportunity for us to keep doing what we do well, as our staff, customers, suppliers appreciate even more. It is a great time for us to improve relationships with all stakeholders," Hammett said.

Tesco Lotus also declared its commitment to battling global warming, which has been addressed as the biggest threat facing the planet, through its Green Living project. "Tesco group believes in the science of climate change, and also believes it is in our power to solve it. Our group CEO Terry Leahy has been a pioneer in raising awareness of global warming.

"Tesco group is already a leader in pioneering a zero-carbon economy. We believe growth can be sustainable and de-linked from carbon emissions," he said.

Tesco Lotus' strategy has three key pillars - cutting carbon emissions by 50 per cent before 2020, offering green products to customers at affordable prices and working with stakeholders to achieve a low carbon economy.