Woolies gets a shearing

21 November 2014 - 02:20 By Bloomberg
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Woolworths Holdings fell the most in two months after the food and clothing retailer reported slowing sales growth.

The stock declined 3.4%, the steepest fall since September 25, to R78.24 at the close in Johannesburg, valuing the company at R72.6-billion.

The retailer's domestic food sales for the 20 weeks ended November 16 advanced 13%, compared with a 17% increase in a comparable period of 2013. At stores open for a year or more, they rose 7.9%. Clothing sales growth slowed to 8.8% from 11% a year earlier.

Retailers have struggled this year as strikes and high unemployment constrain consumer spending. Retailers are facing economic growth of 1.4%, the slowest since 2009. South Africa is the company's biggest market.

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