QUARTER, YEAR RESULTS RISE AT METRO-RICHELIEU

MONTREAL -- For the fourth consecutive year, Metro-Richelieu here reported increased sales and earnings. For the year ended Sept. 24 net income rose 42% to $27.3 million (U.S.), while sales increased 4.9% to $2.1 billion. Conversions to U.S. dollars were made at the rate of $1.36 Canadian equals $1 U.S.

as our continuing efforts to reduce operating costs," said L.G. Serge Gadbois, vice president of finance.

Denyse Chicoyne, a securities analyst with Nesbitt Burns, Montreal, said Metro-Richelieu has been gaining market share in Quebec, without adding new units to the market, by converting five former Steinberg stores that it had previously supplied to the Super C discount banner. She said she expects Metro to gain additional volume in the market "because the new management of Provigo has changed the merchandising of its Maxi and Heritage banners at store level, and we believe their market share will continue to erode, thus benefiting Super C." Chicoyne also said the increase in Price/Costco's membership fee, from $25 to $40, is likely to cost the club some members, which could help Metro's Super C units. Gadbois also said the company plans to spend almost $23.5 million during the next fiscal year on capital expenditures, of which about $13.2 million will be earmarked for store openings and remodeling.

4th-QUARTER RESULTS

Qtr Ended 9/24/94 9/25/93

Sales $513.6 million $471.4 million

Change 9%

Net Income $6.8 million $5.2 million

Change 30.8%

Inc/Share 20 cents 15 cents

40 Weeks 1994 1993

Sales $2.1 billion $2.0 billion

Change 4.9%

Net Income $27.3 million $19.2 million

Change 42%

Inc/Share 80 cents 57 cents