Task description.

1.

Read the following annual report for SuperFood

2.

This is going to shareholders and other stakeholders in the organisation. Make it into a document
which reflects the professionalism of the company. This includes adding graphics/photos to the
report where appropriate to make it attractive

3.

Bold the important words for emphasis, but dont over do it!

4.

Make the document into one with 2 columns of text rather than a boring single column.

5.

Experiment with different font styles and colours. Pick one (or several) to make it look good

6.

Prepare a single page summary of this report for distribution to all staff.

7.

Email the completed documents to me for assessing. If incomplete email what is completed at end
of elapsed time. Email address: as indicated by your facilitator

8.

Begin your changes NOW these instructions do not need changing

9.

Time allowed 1 session (approx 70mins)

SuperFoods Annual Report

The Managing Director's Report
This financial period your Company registered record sales of $15,574 million, an increase of 11.35% over
the prior year. That reflected the continued patronage enjoyed right across Australia where our grocery
market share has reached an all time high of 33%. Simultaneously, our SuperDiscount division grew its
share of the highly competitive discount department store market.
Whilst the total retail industry was still somewhat suppressed, greater stability was evident and this enabled
us to concentrate our focus on improving customer service. As a consequence, our customer transactions
increased by 8.8% and our margins were better managed, as was the cost of doing business. This resulted in
a Profit of $258 million after tax, an increase of 10.45%.
As announced last year, 2001 heralded a number of significant developments for your Company. We
embarked upon a programme of introducing SuperPetrol canopies into the car parks of our Supermarkets.
This has proven to be extremely popular with our customers who are rewarded with a 2 cents per litre
discount on purchasing goods to the value of $30 or more.
The other major initiative was the decision to enter into Wholesale Distribution
to independent supermarkets and small stores through Australian Independent Wholesalers Pty Ltd.
This opportunity, to capture growth for your Company in a market we had previously not participated in, has
proven to be successful in the early stages, particularly with the formation of new banner groups in
Queensland and Victoria. Separate Distribution centres supply these in those States, under the AIW banner,
thus keeping it at arms length from our Supermarket business.
Also this year we undertook a major capital raising exercise and have now successfully put in place
adequate finance facilities to ensure we have sufficient capital for the continued growth of your Company.
Many new stores were opened and many refurbished and our total staff population is now around 100,000.

This year's highlights

Sales for the 53 weeks increased by 11.35% to $15,574 million. Profit before Interest and Tax increased by
14.6% to $449 million. Profit after Tax increased by 10.45% to $258 million.
We handled over 598 million customer transactions, an average of 11.29 million per week and an increase of
8.8% on the previous year. Sales per square metre improved from $9,028 to $9,392 an increase of 4%.
A total of 91 new stores were opened, including 42 Supermarkets and 7 BIG Z stores. The total number of
stores increased from 1,031 to 1,098 during the year.
The Directors have declared a final dividend of 9 cents per share, fully franked, making a total dividend of
16 cents per share for the full year.
Finally, I would like to say thank you for your continued support and effort; to our Shareholders, thank you
for your confidence and most of all, thank you to our customers and suppliers for maintaining your loyalty
to our Company.
Feeding More Australians
The Supermarkets Group - which includes supermarkets, food and liquor stores, and processed food
manufacturing - continued its commitment to providing the highest quality, broadest range and

competitively priced fresh food and groceries as "buying agent" for over 9 million customers each week
around Australia.
We are the largest retailer of quality fruit and vegetables, meat, delicatessen and bakery products across
Australia. Following significant additions to its core ranges, over 14,000 items are now available, an
increase of some 500 percent over the past decade.
New Stores
During the year, 42 new supermarkets were opened which increased the total number to 478. A further 36
stores were refurbished.
We acquired a supermarket chain located in ACT and Southern NSW and relaunched them as SuperFood
supermarkets. Following the opening of new stores in Wagga, Taree and Richmond in New South Wales,
there are now 16 stores throughout regional NSW.
In addition to the wide range of specialist retail shopping opportunities they now provide in each State,
Shopping Centres are a convenient point of access to the services offered through our stores.
SuperMetro
The first of a new type of store dedicated to meeting the changing tastes of urban consumers commenced
construction in August 1997. Known as SuperMetro, the concept provides convenient access to a wide range
of fresh foods in a central city location, as well as everyday grocery items and general merchandise.
SuperElectronic
The prototype for the new SuperElectronic stores was opened in August 2001 at Bankstown, NSW. The
new concept offers a substantially extended product range in over 2,000 square metres of retail space, and
places the retail emphasis on convergence between the store's four major product ranges - electronics,
communications, entertainment and computers. Customers have enthusiastically accepted the new format
store and sites are being investigated for further stores.
Electronic shopping services
On the Internet, the new SuperFood web site has proven popular, as have the menu and recipe ideas it has
provided. We are also continuing to develop our advanced electronic shopping system which will eventually
have the capacity to service those customers who prefer to shop from the convenience of their home.
Our Initiatives
We are proud to announce the success of three major initiatives that we have put in place in the market.
They have made us now the leading supermarket in Australia
SuperPetrol
During the year, we responded to a market opportunity by becoming the first major retail group in Australia
to offer the convenience of petrol adjacent to a Supermarket, thereby adding to its commitment to shopper
convenience.
SuperPetrol offers competitive prices to all customers, with a discount to customers who purchase fuel using
a coupon obtained from our Supermarket.
New outlets

At June 2000, a total of 12 SuperPetrol outlets had been opened in New South Wales, Victoria and
Queensland, and another 5 were under construction. By December 2002 a total of 40 are expected to be in
operation and by the year 2000, over 200 outlets will be opened in most States of Australia, together with
the ACT.
Magazine initiative
Another initiative that has received an excellent response from our customers
is 'Australian Good Taste' magazine, which is only available at our Supermarkets. Launched in June 2000,
'Australian Good Taste' is a quality food and lifestyle magazine and is poised to outsell the Australian
Woman's Weekly.
Flavoursome fruits
A new variety of rich, red, vine-ripened tomatoes are soon to arrive in our stores. The tomatoes are being
cultivated using Israeli adapted technology. The development of other products to ensure improved quality
and 'year round freshness' is our longer-term objective.