Loblaws gains as grocers lead amid volatility
Same-store sales growth is improving as grocers such as Loblaw and Empire Co., which operates the Sobeys chain, find cost savings after acquisitions and offer higher-margin items, said James Telfser, a fund manager at Aventine Management Group. Telfser's firm manages about C$80 million, including shares of Stellarton, Nova Scotia-based Empire and Clearwater Seafoods.
Empire, which acquired the Canadian operations of Safeway for C$5.8 billion in November, said adjusted first-quarter earnings before interest, taxes, depreciation and amortization jumped 48 percent compared with last year primarily due to food retailing and the impact of Safeway operations and synergies.
The U.S. economy will grow 3 percent and 2.9 percent in 2015 and 2016, respectively, according to the median estimate of economists surveyed by Bloomberg, compared with 2.5 percent and 2.45 percent for Canada, the data show.
Source: Chicago Tribune
