O'Key Group CEO to manage discounter business

MOSCOW. Nov 15 (Interfax) - O'Key Group , one of Russia's leading retailers, is splitting up its management by store format, the company said in a press release.

Group CEO Armin Burger "will focus on the development of the discounter segment as a key area of growth of the group's business" in the role of CEO of the Da! discount store chain.

Group CFO Konstantin Arabidis will take over as CEO of the O'Key hypermarket segment.

"One of the main tasks of the O'Key management team under the leadership of Konstantin Arabidis will be further transformation of the format in order to strengthen its market position, improve customer proposition and increase operational efficiency of O'Key hypermarkets," the retailer said.

The O'Key hypermarkets have seen revenue decline for several consecutive quarters. The segment's revenue fell 4.1% in the third quarter, 5.3% in the second quarter and 3.8% in the first quarter of 2023 after slumping 2.3% to 146.9 billion rubles in 2022.

The group had 296 stores as of September 30, including 77 O'Key hypermarkets and 219 Da! discount stores, with total retail space of 658,696 square meters.