Sales growth slowing at Morrison

SALES growth is slowing at William Morrison, although the grocer says it is maintaining its momentum. The country's fifth-largest supermarkets chain said like-for-like sales including petrol rose 6.5% in the 15 weeks to 19 May.

That compares with 7.4% in the first six weeks of its new financial year. Underlying sales had risen 7.2% in the year to 3 February 2002. 'The market is as tough and as competitive as ever but we are maintaining our momentum having made a good start to the new financial year, with sales showing healthy growth,' the company told the annual shareholders' meeting. The shares dipped 2 1/2p to 225 1/2p in early afternoon trade.

The company said new openings - it is aiming for 130 stores by January 2004 - would create 2,500 jobs.