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Friday, February 19, 2010

Mid-size retailers still feel the slowdown pinch

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Rustomjee Business School, promoted by realtor Boman Irani, stands tall on S V Road in Mumbai’s Dahisar area. Just a year ago, it was the site of an equally impressive Mega Mart promoted by Vishal Retail.

Vishal, which opened the 21,000 sq ft store in 2007, closed it a year ago to stem losses. But, the 30 other stores that Vishal closed in Mumbai and the National Capital Region in the last year have not been so lucky — they present a sad picture of deserted buildings, empty shelves and closed shutters. The company’s losses mounted to Rs 120 crore in the third quarter ended December 2009.
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