The chain reported same store sales excluding fuel down a
worse-than-expected 2.1% in the 12 weeks to June 6, which comes on top
of a 1.9% drop in the previous three months.
Sainsbury's remains under pressure from falling UK food prices and as
the big four grocers engage in fierce competition amid a scramble for
market share, which is being eaten away by discounters Aldi and Lidl.
Sainsbury's chief executive Mike Coupe, who took over from
long-standing predecessor Justin King last July, unveiled a wide-ranging
plan to fight back against the discounters in November which included
price cuts to 1,100 items and improvements in quality to 3,000 own-brand
products.
