Citibank establishes ADR program for Disco S.A.NEW YORK--(BUSINESS WIRE)--April 10, 1996--Citibank, N.A. is pleased to announce that it has established an American Depositary Receipt American Depositary Receipt (ADR) Certificates issued by a US depository bank, representing foreign shares held by the bank, usually by a branch or correspondent in the country of issue. (ADR ADR - Astra Digital Radio ) program for Disco S.A., a corporation organized under the laws of the Republic of Argentina. The ADR shares for the program, for which Citibank acts as depositary, will trade on the New York Stock Exchange New York Stock Exchange (NYSE) World's largest marketplace for securities. The exchange began as an informal meeting of 24 men in 1792 on what is now Wall Street in New York City. . Each American Depositary Share American Depositary Share (ADS) Foreign stock issued in the US and registered in the ADR system. (ADS) issued under the program represents one share of common stock. The ADRs will trade under the symbol "DXO DXO Dextrorphan " (CUSIP CUSIP See: Committee on Uniform Securities Identification Procedures CUSIP See Committee on Uniform Securities Identification Procedures. No. 254609100). The company is a leading food retailer in Argentina. The company has a strategically located store base, principally in urban neighborhoods. The company's supermarkets average approximately 1,100 square meters of selling area, although recently opened and planned new stores range from 1,500 to 2,500 square meters. According to the company, for the year ended Dec. 31, 1995, the company had total net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight of Ps.804.6 million, operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. of Ps.27.4 million and net income of Ps.12.8 million, as compared to Ps.791.8 million, Ps.23.2 million and Ps.10.1 million, respectively, for the year ended Dec. 31, 1994. The company places special emphasis on high quality perishable items. Management believes it commits more personnel and resources than its competitors to food preparation, quality control and store appearance. The company believes that it further differentiates itself by offering a wide array of features and special services not offered by its competitors, including its premium quality private label products, its proprietary credit card and express check-out and free home delivery services. In March 1991, the Velox Group - a privately held company privately held company A firm whose shares are held within a relatively small circle of owners and are not traded publicly. owned by the Peirano family - acquired a controlling interest in the company and soon thereafter installed a new management team that developed a strategic plan designed to refocus the company and reduce costs against the background of a rapidly changing macroeconomic mac·ro·ec·o·nom·ics n. (used with a sing. verb) The study of the overall aspects and workings of a national economy, such as income, output, and the interrelationship among diverse economic sectors. environment in Argentina. The company's strategic plan was also designed to improve the company's corporate image, market penetration and employee training. As part of this plan, the company also achieved significant cost reductions and operating efficiencies by investing in technology, closing poorly performing stores, divesting itself of non-core business assets and restructuring its debt. Since March 1991, the company has opened ten new supermarkets and six convenience stores, renovated and/or expanded eight supermarkets and closed or sold 20 unprofitable or poorly located supermarkets. These measures contributed to dramatically improved operating results. From the fiscal year ended Sept. 30, 1991 to fiscal year ended Dec. 31, 1995, net sales increased by 124.7%, to Ps.804.6 million from Ps.358.1 million, operating income increased to Ps.27.4 million from Ps.1.7 million, and net income recovered to a profit of Ps.12.8 million from a loss Ps.29.3 million. Citibank is a leading depositary serving over 500 issuers worldwide. The bank began offering depositary receipts services in 1928 and has been the leading market innovator in recent years. With a local presence in 95 countries and unsurpassed strength in delivering on-line information, Citibank is uniquely qualified to support the funding needs of issuers around the world. CONTACT: Citibank, N.A., New York Jarvis Cromwell, 203/975-6037 Mei Po Sit, 212/657-7533 or Disco S.A. Eduardo R. Orteu, 011-(541) 964-8017 |
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