ISSAQUAH, WA and MEXICO CITY — Costco Wholesale Corporation (NASDAQ: COST) ("Costco Wholesale") and Controladora Comercial Mexicana, S.A.B. de C.V. ("CCM") are pleased to announce that they have executed a definitive agreement under which wholly-owned subsidiaries of Costco Wholesale will purchase from CCM its 50% share interest in Costco de México, S.A. de C.V. ("Costco México"), a joint venture, for $10,650 million MXN (the equivalent amount in U.S. dollars is $760.4 million based on an exchange rate of 14.006 pesos to the dollar). In addition, Costco Mexico has declared a cash dividend of approximately $4,774 million MXN (the equivalent amount in U.S. dollars is $340.85 million based on an exchange rate of 14.006 pesos to the dollar), 50% payable to a subsidiary of Costco Wholesale and 50% to CCM. Costco Wholesale will use the dividend proceeds and existing cash and investment balances to fund the purchase. CCM will use the dividend and sale proceeds to pay down debt.
The Costco México joint venture has been 50% owned by each of Costco Wholesale and CCM and operated by Costco Wholesale. The closing is subject to the approvals of the Mexican Federal Competition Commission and the shareholders of CCM. Mr. Guillermo González Nova, and Mr. Carlos González Zabalegui, respectively Chairman and CEO of CCM, will continue as members of the Board of Directors of Costco México. Mr. Jaime Gonzalez Solana will continue as CEO of Costco México.
Costco Wholesale currently operates 602 warehouses, including 435 in the United States and Puerto Rico, 82 in Canada, 32 in Mexico, 22 in the United Kingdom, 13 in Japan, eight in Taiwan, seven in Korea and three in Australia. The Company also operates Costco Online, an electronic commerce web site, at www.costco.com and at www.costco.ca in Canada. The Company plans to open up to an additional six new warehouses prior to the end of its fiscal year on September 2, 2012.
A brief conference call to discuss the transaction is scheduled for 8:00 a.m. (PT) on June 14, 2012, and is available at 800-399-8203 or via a webcast on www.costco.com (click on Investor Relations and "Play Webcast").
Certain statements contained in this document constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For these purposes, forward-looking statements are statements that address activities, events, conditions or developments that the Company expects or anticipates may occur in the future. Such forward-looking statements involve risks and uncertainties that may cause actual events, results or performance to differ materially from those indicated by such statements. These risks and uncertainties include, but are not limited to, domestic and international economic conditions, including exchange rates, the effects of competition and regulation, uncertainties in the financial markets, consumer and small business spending patterns and debt levels, conditions affecting the acquisition, development, ownership or use of real estate, actions of vendors, rising costs associated with employees (including health care costs), energy, and certain commodities, geopolitical conditions and other risks identified from time to time in the Company's public statements and reports filed with the Securities and Exchange Commission.
© Marketwire 2012
Costco Wholesale, CCM Execute Deal Regarding Costco De Mexico - Quick Facts - RTT News
6/14/2012 6:02 AM ET
(RTTNews) - Costco Wholesale Corp. (COST: News ) and Controladora Comercial Mexicana S.A.B. de C.V. or "CCM" executed a definitive agreement, pursuant to which wholly-owned units of Costco Wholesale would buy from CCM its 50% share interest in Costco de México, S.A. de C.V., a joint venture, for $760.4 million. Further, Costco Mexico has declared a cash dividend of around $340.85 million, 50% payable to an unit of Costco Wholesale and 50% to CCM.
The Costco México joint venture has been 50% owned by each of Costco Wholesale and CCM and operated by Costco Wholesale. Guillermo González Nova, and Carlos González Zabalegui, respectively Chairman and CEO of CCM, would continue as board members of Costco México. Jaime Gonzalez Solana would continue as Chief Executive of Costco México.
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Dubai Shopping Malls Group unveils its promotion for the fifteenth edition of Dubai Summer Surprises - AME Info
DSMG has been a key sponsor of DSS since its inception running innovative events and activities that have helped brand Dubai as a shopping paradise in summer months. "DSMG is always on the lookout to offer customers increasingly exciting promotions during DSS, as this is in keeping with our mandate to re-energize the mall industry in Dubai and promote shopping and retail trade. Dubai as a shopping hub has always been the first choice for shoppers making it the quintessential value shopping destination. It is even more significant now when UAE is surveyed to be the world's second most international retail market having a presence of 56% international retail brands. This year, we are pleased to launch the three million dirhams worth prizes that fully complements the action-packed DSS being organized by the Dubai Events and Promotions Establishment (DEPE)", said Majid Al Ghurair, Chairman, Dubai Shopping Malls Group.
The participating malls have rolled out additional promotion and events during the month long celebration and shopping is more exciting this summer at all the participating DSMG malls.
The DSMG guarantees surprises and fun-filled activities for all its shoppers during the DSS offering prizes worth three million dirhams. Shop at any of the participating malls to receive a coupon from the mall that you have shopped to enter in the mega raffle. The malls are, Al Ain Centre, Al Ghurair Centre, Al Manal Centre, Al Mulla Plaza, Arabian Center, Burjuman Centre, Century Mall, Deira City Centre, Dubai Outlet Mall, Hamarain Centre, Ibn Battuta Mall, Lamcy Plaza, Mall of the Emirates, Mirdiff City Centre, Oasis Center, Palm Strip, Reef Mall, Sunset Mall, Times Square Center and Twin Towers.
A Weekly Mega Draw beckons prizes in cash and as gift vouchers worth half a million dirhams to four winners during the promotion period. The raffle draw is scheduled for 21st and 28th June and 5th and 14th July 2012. A Weekly Regular Draw will reward 20 winners with prizes worth fifty thousand dirhams with 5 winners in a week availing prizes in cash and as gift vouchers. As part of the joint promotion, MasterCard offers additional chances of winning to shoppers using MasterCard every time they shop. The promotion entitles shoppers using MasterCard to win 5 Emirates Airline return tickets to a destination as a weekly Mega Prize. The draws are held in conjunction with the DSMG raffle draw on 21st and 28th June and 5th and 14th July 2012. In total, 44 winners will get a chance to live it big this Summer Festival.
"MasterCard has been associated with DSS for 13 consecutive years to bring real value to its customers, merchants and cardholders. This year again, MasterCard has introduced a host of exclusive privileges during DSS for consumers to enjoy rewards and prizes while they shop using MasterCard in a participating DSMG mall," said Eyad Al-Kourdi, Vice President & Country Manager, UAE, MasterCard Worldwide. "MasterCard's collaboration with DSMG also helps facilitate commerce in Dubai as one of the top 10 global destinations cities as per MasterCard's Index of Global Destinations 2012," he added.
To top it all, visitors can choose from numerous spas to avail discounted rates for various health and wellness treatments. The fifteenth edition of the DSS targets all age groups with the entertainment attractions and shopping bargains. With unbeatable offers, events and activities, DSS promises unparalleled surprises this summer for the entire family.
Mariners make wholesale roster changes - YAHOO!
Seattle sends Carp, Pryor to DL; calls up …
SEATTLE (AP) The Seattle Mariners have placed outfielder Mike Carp and reliever Full Story »Seattle sends Carp, Pryor to DL; calls up 4
The Associated Press
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