Woolworths (ASX:WOW) withdraws Dan Murphy development project

Company News

by Michael Luu

Australia’s biggest grocery distribution chain Woolworths (ASX:WOW) has announced its withdrawal of a Dan Murphy Store construction project in Darwin.

The decision came on the back of findings from an independent inquiry coordinated by lawyer Danny Gilbert, which recommended against the progression of the liquor store establishment.

The Gilbert Review determined that the development would not be in the best interests of the nearby local Aboriginal community in Bagot; as the giant supermarket operator had not adequately addressed indigenous issues around the project.

Woolworths conceded, ““In particular, we did not do enough stakeholder engagement with a range of Aboriginal and Torres Strait Islander communities and organisations”.

The news coincided with Woolworth’s release of its March quarter results, reflecting a dip of 2.1 per cent in comparable sales at its overall supermarket operations. The company has revealed that the fall, which exceeded forecasts by 1.1 per cent, is attributable to deflation and weaker demand for consumer goods such as plant-based products.

Shares in Woolworths (ASX:WOW) last traded at $41.41 yesterday
 

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