ChatterBank7 mins ago
Tesco....down The Pan ?
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These losses are astonishing...the largest in British retail history. I can't help feeling that some of this loss, at least, is down to stupidity and greed on Tesco's part.
Within a 10 miles radius of my home, there are at least 14 branches of Tesco, including 2 Mega stores, on of which is the size of a regional Airport.
Was it really feasible that so many stores could make money in such a small area ? We have all the other supermarkets as well, like ASDA, Morrisons, Sainsbury, Lidl, Aldi, Co-op. We just have too many ruddy supermarkets ! How many pints of milk and loaves of bread can we buy !
Given that Tesco is still being investigate by the Serious Fraud Office, how long will it be before Tesco collapses altogether ?
These losses are astonishing...the largest in British retail history. I can't help feeling that some of this loss, at least, is down to stupidity and greed on Tesco's part.
Within a 10 miles radius of my home, there are at least 14 branches of Tesco, including 2 Mega stores, on of which is the size of a regional Airport.
Was it really feasible that so many stores could make money in such a small area ? We have all the other supermarkets as well, like ASDA, Morrisons, Sainsbury, Lidl, Aldi, Co-op. We just have too many ruddy supermarkets ! How many pints of milk and loaves of bread can we buy !
Given that Tesco is still being investigate by the Serious Fraud Office, how long will it be before Tesco collapses altogether ?
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The majority of the loss is a downgrading of its property portfolio value. So in effect it is a paper loss, and accounting procedure.
It is a good time to do that because this was always going to be a bad year because of the fraudulent numbers they had published previously. When that black hole was revealed, and the revised figures were no where near as good as previously thought, then a downgrading of its assets now means that all the readjustment is all over and done with in one accounting year.
Tesco will bounce back to healthy orofit next year (but no where near to the bogus profits that they used to make).
It is a good time to do that because this was always going to be a bad year because of the fraudulent numbers they had published previously. When that black hole was revealed, and the revised figures were no where near as good as previously thought, then a downgrading of its assets now means that all the readjustment is all over and done with in one accounting year.
Tesco will bounce back to healthy orofit next year (but no where near to the bogus profits that they used to make).
So they take their customers money ...
Make a huge profit ...
Then "adjust" the value of their property portfolio, to create a paper loss ...
So they pay no tax !!
And we have to make up the tax shortfall.
Marvellous.
Remind me to adjust the value of my property portfolio when my next tax bill is due!
Make a huge profit ...
Then "adjust" the value of their property portfolio, to create a paper loss ...
So they pay no tax !!
And we have to make up the tax shortfall.
Marvellous.
Remind me to adjust the value of my property portfolio when my next tax bill is due!
ala ...
All property values seem to be going up. They certainly are here.
In fact, the only properties that have gone down in value are the ones owned by Tesco.
Perhaps they need to have a word with the person in charge of buying their properties. If any of us selected their target properties by randomly sticking a pin in a map of the UK, we would statistically make more profitable investments than Tesco's entire property management team.
All property values seem to be going up. They certainly are here.
In fact, the only properties that have gone down in value are the ones owned by Tesco.
Perhaps they need to have a word with the person in charge of buying their properties. If any of us selected their target properties by randomly sticking a pin in a map of the UK, we would statistically make more profitable investments than Tesco's entire property management team.
JJ, almost everything you hear about Hove, Actually is true.
It's because the residents of Hove rather disapprove of Brighton. We are their scruffy, down market neighbour.
Together, our two towns form the "City of Brighton and Hove". But if you mistakenly thought that a Hove resident lived in Brighton, they would look down their nose and say ... Hove, Actually.
Whereas we live in ... Brighton, Naturally
If we are caught in Hove, they tattoo a letter "B" under our arms, rough us up a bit, and escort us back to our end of the Western Road.
It's because the residents of Hove rather disapprove of Brighton. We are their scruffy, down market neighbour.
Together, our two towns form the "City of Brighton and Hove". But if you mistakenly thought that a Hove resident lived in Brighton, they would look down their nose and say ... Hove, Actually.
Whereas we live in ... Brighton, Naturally
If we are caught in Hove, they tattoo a letter "B" under our arms, rough us up a bit, and escort us back to our end of the Western Road.
JJ,
A building, like a car depreciates year on year. Tesco have built many new stores over the last 15 years. But because they are not building as many new stores, the value of their existing buildings is falling faster than the value of their new stores as assets. So instead of the stores being a positive on the value of the company, they are showing as a negative because more stores are getting older, and so are worth less. On paper anyway.
Supermarkets like Tesco have been making huge profits, but they have been investing huge sums as well. In effect they pay minimal tax anyway so this one year blip into a deficit will not make much difference to the Chancellor's tax rake.
A building, like a car depreciates year on year. Tesco have built many new stores over the last 15 years. But because they are not building as many new stores, the value of their existing buildings is falling faster than the value of their new stores as assets. So instead of the stores being a positive on the value of the company, they are showing as a negative because more stores are getting older, and so are worth less. On paper anyway.
Supermarkets like Tesco have been making huge profits, but they have been investing huge sums as well. In effect they pay minimal tax anyway so this one year blip into a deficit will not make much difference to the Chancellor's tax rake.
//And they're in petrol stations//
The big supermarket chains sell fuel below cost price .
They don’t make a profit due to the cost of transport & costs of running the petrol station .
So , why bother i hear you say .
Well the next time you say to your partner - i'm just popping over to Tesco
( other superrmarkets are available ) - he / she is likely to say to you - ok dear while your'e there just pop into the store and get xyz .
Further , what happens - you pop into the store and more often than not end up picking up a few more items than you intended
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