Sainsbury's Business Television programme about Q1 Trading Statement, 1 July 2004

Recording of a special Sainsbury's Business Television programme for Sainsbury's staff (mainly store management teams) featuring Justin King (Chief Executive) speaking to staff about important announcements made to the Stock Exchange. These announcements related to the company's chairman and the publication of a trading statement which announced disappointing profit figures. The programme was broadcast on the day of the announcements, Thursday 1 July 2004, by satellite to Sainsbury's stores, depots and offices.

Justin King firstly explains that a new Chairman, Peter Hampton, had been appointed (to join on 19 July) and the outgoing Chairman, Peter Davis, had stepped down that day.

Secondly he talks about the company’s trading statement which was announced as a result of the company’s profit levels being lower than expected. He discusses what the company plans to do to improve profit levels. He explains some factors which impacted on the margins including: investing in price; costs in improving availability (ensuring shelves are fully stocked) and dealing with issues relating to depots; the non-food stock position. To reduce costs they intend to slow down on activity not focussed on customers including halting some investments on new stores, extensions, IT and supply chain; look hard at all spend not focussed on serving customers; and focus on driving sales.

Duration: 7 minutes.