X5 Retail Group sees major decline in average sales growth

Russia-based X5 Retail Group has seen a major decline in the growth rates in average sales over the first two months of 2009. "This is happening because consumers are switching from premium goods to core products. Instead of buying milk with a higher fat content, consumers are buying low fat milk. Demand has appeared for low cost types of pasta which nobody bought earlier. Stores are seeing an increase in visitors but a decline in purchases, X5’s CEO Lev Khasis said.