Wal-Mart on Path of Overseas Expansion

Wal-Mart Stores Inc., the world’s largest retailer, agreed to buy 74 stores from Spar Handels for an undisclosed price, the German retail group said. “We’re now on four continents,” said Bob Martin, head of the company’s international division. About a third of Wal-Mart’s sales and earnings growth during the next few years will come from the 5-year-old international unit, Martin said. The company acquired Germany’s Wertkauf warehouse chain last year. Increased business in Germany, Argentina, Brazil, Mexico, South Korea, China, Canada and other markets is likely to boost Wal-Mart’s international profit sevenfold to as much as $1.8 billion in 2002, said analyst Jeffrey Feiner of Lehman Bros. The international unit, which operates more than 600 stores, will open 75 to 80 stores next year. Last year, revenue at Wal-Mart’s international unit soared 87%, contributing $8.51 billion to the company’s total $97.96 billion in revenue. Wal-Mart shares rose $1.38 to close at $76 on the NYSE.