The 99 retail members of Intersport España have unanimously decided to convert their cooperative into a limited liability company where they still have equal shares, called Intersport Holding Expansiòn. This company, which has an equity capital of €8 million, will own all the assets of Intersport España. It will also have a 25 percent stake in a future new company where specific members and other investors may have more shares than others, as in the Intersport organizations in France or Sweden.
This new company, which should be set up in September, will manage the group's purchasing and franchising operations as of next year. The aim is to make the Spanish retail organization more competitive and dynamic, and to improve purchasing conditions. The new company may also carry out acquisitions and make new investments, drawing on the relatively high financial resources of the group. Nothing specific is planned in this regard, however.
The members of Intersport España had 324 stores in operation at the end of last year, measuring a total of 134,000 m², but this does not include the stores of some others retailers that have started to do their purchasing through the organization without being shareholders of the cooperative. Not including these purchasing partners, their retail sales increased to an estimated level of €289 million after VAT in 2010 from €280 million in the previous year.
Centralized settlements rose to €104 million from €98 million in 2009, including VAT. Thanks to cost reductions and higher sales from its own warehouse, the Spanish cooperative improved its profits last year to €1.2 million, and one-third of them are being returned to the members as dividends. Intersport Spain recently launched a new intranet platform where members can place and plan their orders.
