The Brussels-based grocery company Delhaize Group Thursday reported a net loss of €87 million in the third quarter, compared to a €189 million net profit in the year-ago period.
The company said the loss was caused by lower a operating profit and €199 million of impairment charges, mainly related to its Serbian goodwill and trade names.
"As a result of our decision to increase price investments and promotions, profitability has declined," said Chief executive Pierre-Olivier Beckers, who will hand over his position to former Metro AG executive Frans Muller.
Revenue fell 0.5% to €5.34 billion, from €5.37 billion in the same period last year.
But revenue increased 2.9% at identical exchange rates and organic revenue growth was 3.1%.
The company that operates the Food Lion, Hannaford and Sweetbay banners in the US, reiterated its guidance for 2013 and expects underlying operating profit of at least €755 million at identical exchange rates compared to €785 million in 2012 and free cash flow of approximately €500 million.
