Groupe Casino Refutes Broker Claims About Franchise Operations
Groupe Casino has issued a statement refuting the claims made by Bernstein Research on the French retail group's relations with its franchisees, particularly relating to the cash impact of these operations.
Yesterday, Bernstein downgraded Casino to 'underperform', following a review of Casino's related party transactions, chiefly involving its French franchisees.
'These franchisees and their transactions have a material impact on the company's profitability, cash flow and therefore should be carefully considered when valuing the company,' Bernstein said in its note.
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