Food retail shares under devaluation

According to specialist the business conditions in retail sector will be not better in 2008. The price must be cut.

 British retailers suffered their worst holiday season in three years, with apparel revenues plummeting the most, according to the British Retail Consortium. Year-over-year retail sales grew just 0.3% in December, compared with 2.5% in 2006.

 Marks & Spencer has lost almost a fifth of its value after Sir Stuart Rose, chief executive, unveiled the poorest sales figures for two-and-a-half years at the UK retail giant.

The pain also spread to other parts of the retail sector: Sainsbury 6.1%, Tesco 5.3%, William Morrison 5%, Housewares giants Home Retail Group and Kingfisher slid more than 6%, while electronics merchant DSG International fell 6.5%.