Wal-Mart growth in Canada too much for Loblaw

Wal-Mart competition has become too much to Toronto based grocer Loblaw, who has started to get rid of their excess inventory. Loblaw is the biggest supermarket chain in Canada with more than a thousand stores across the country.

Last November however, Loblaw announced the close of 19 stores and 24 wholesale outlets to improve results and try to keep up with the fast growing competitor Wal-Mart, who is planning to open 10 more stores in Ontario.

The Canadian supermarket chain will dispose of excess of bathroom, kitchen and electronics merchandise through a liquidator. This move will help the grocer to simplify their supply chain and make it more agile, but the move has already cost the company a price reduction of more than a dollar in their shares at the Toronto Stock Exchange.