Sat, Dec 20, 2003 - Page 10 News List

Pacific Sogo will launch new branch in Tienmu in 2008

By Amber Chung  /  STAFF REPORTER

Pacific Sogo Department Store (太平洋崇光百貨), the nation's second-largest department store chain, has decided to open a new outlet in Tienmu in partnership with Shihlin Electric & Engineering Corp (士林電機).

The two parties have signed a memorandum of understanding for their proposed plan, Nancy Ting (丁立貞), public relations manager at Sogo, said yesterday.

Shihlin Electric & Engineering is planning to construct a 19-story office building in Tienmu, with Sogo leasing the building's first five floors, Ting added.

The new Sogo store on Chungshan North Road (Sec. 6) will occupy 14,000 pings and will be the retailer's fifth outlet in Taiwan. Sogo, which expects NT$26 billion in sales this year, hopes to create annual sales of up to NT$5 billion at the new outlet during the first year after it opens in the third quarter of 2008.

"This outlet will target female customers with high purchasing power by enhancing its selection of quality and stylish imported goods," Sogo vice president and spokesman Lee Kuang-rong (李光榮) said in a statement.

Sogo attributed its alliance with Shihlin Electric & Engineering to the long-term relations between the families of both companies' chairmen, Lee said in the statement.

The 40-year-old Shihlin specializes in manufacturing heavy electrical and manufacturing-automation products as well as in distributing digital imaging products. Shihlin reportedly could gain at least NT$300 million per year in rent from Sogo.

Sogo originally planned to launch a fifth outlet in the Tienmu area through a collaboration with Cathay Life Insurance Co (國泰人壽). But the retailer in July scrapped the proposed plan because of construction problems.

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