Fri, Dec 30, 2011 - Page 12 News List

Far Eastern expects two new stores to make NT$14 billion

By Jason Tan  /  Staff Reporter

After opening two huge new shopping malls in the Greater Tai-chung area last week and Banchiao District, New Taipei City (新北市) yesterday, Far Eastern Department Stores Ltd (遠東百貨) said it expected the malls to make a combined revenue of NT$14 billion (US$426 million) in the first year.

The Taichung outlet, dubbed “Top City,” is likely to see revenue hit NT$8 billion next year, and surpass NT$10 billion in 2013, Far Eastern public relations assistant manager Meo Cheng (鄭嘉蕙) said.

Currently, only three department stores in Taiwan report annual revenue of more than NT$10 billion: Pacific Sogo Department Stores Co’s (太平洋崇光百貨) Fu-xing and Zhongxiao outlets in Taipei City, and Shin Kong Mitsukoshi Department Store’s (新光三越) outlet in Greater Taichung.

Far Eastern’s management hopes the Banchiao department store, called “Mega City,” will see receipts totaling NT$6 billion next year and reach NT$10 billion during its third year of operations, Cheng said by telephone.

Top City embarked on a trial run on Thursday last week and shoppers spent NT$800 million in the first week.

“We were taken aback by the spending power in Greater Taichung. The residents there like to try out new things and many made purchases at our mall,” Cheng said.

The combined floor space of Top City, at 360,000 ping, (1,190,088m2) and Mega City, with 260,000 ping, is larger than that of Far Eastern’s existing eight malls.

Among the attractions at the malls is Food Republic (大食代) — a new store for most Taiwanese.

Food Republic is a Singapore-based food court operator famed for its Southeast Asian cuisines and has already established a presence in China and Malaysia.

In addition to the first Imax cinema in New Taipei City, Mega City also boasts 300 ping of Venice-style gondolas and canals on the ninth floor, allowing customers to take a breather after shopping.

In the third quarter of the year, Far Eastern saw its earnings plunge 30 percent year-on-year to NT$529.38 million. Earnings for the first three quarters stayed flat from last year at NT$1.47 billion. Shares in Far Eastern rose 4.44 percent to close at NT$35.3 on the Taiwan Stock Exchange yesterday.

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