re: Ann: Metcash Management change signals ne... MTS has been...

re: Ann: Metcash Management change signals ne... MTS has been referred to as structurally and competitively deficient. It therefore needs to come up with an idea that truly cuts through.

The two divisions which have been separated were apparently previously combined into one under an earlier restructure/CEO. Synergy, economies of scale, etc arguments were used last time when they centralised the same divisions groceries and convenience.

Sounds like it may not work because the costs of running and coordinating two separate divisions would presumably be more than a centralised entity. Restructure for restructure's sake, or a trip back in time?

This stock is at a five year low and attracts some concern for various well-posted reasons. MTS may be running out of fresh ideas. They just seem to keep copying the majors, so they are out of the league of the majors which obviously control 80% of the market. MTS is squeezed by them, a little like a lemon.

The combined food and grocery division was 80% of MTS' business and is the obviously the underperforming division so it will probably continue to significantly handicap MTS moving forward. The attempts to diversify the company are still only 20% of the company.

Supporting a local may be easier said than done, when the convenience prices are so prohibitive to a lot of shoppers struggling with the cost of living and who know they are simply paying more to shop there at their 'local'.