Co-op to report worst results in history
According to reports, the Co-op Group’s losses for 2013 are expected to be greater than £2bn, the worst in its history when they are announced on 26 March.
The huge £2bn-plus losses to be revealed by the Co-op Group stem mainly from its bank, which was rescued at the end of 2013 – with a reduction in the value of stores and goodwill acquired with the Somerfield takeover in 2009.
In the first half of 2013, Co-op Group generated a pre-tax loss of £559m, following a loss in the previous year of £648m.
Co-op Group has been forced to recognise a collapse to nothing in the value of its investment in Co-op Bank, as part of the rescue saw hedge funds and other investors emerging with majority ownership of the bank.