Wolseley remains well-positioned in the medium to longer term for a number of reasons:
- Wolseley operates in a fundamentally attractive business sector and markets.
- Wolseley is a market leader in a highly fragmented industry and has a strong customer franchise, international operations and strategic positions in its core markets.
- Scale advantages such as our distribution network utilisation and sourcing activities are key competitive advantages and differentiators in the marketplace.
- Wolseley has strong local brands and knowledge and a strong business model.
We believe that significant shareholder value can be generated through an even greater level of focus on Wolseley’s core businesses, which present the best opportunities for return on investment in the longer term.
The Group historically has achieved higher returns where it has consolidated its position, building strong local brands and a critical mass which delivers significant cost and scale advantages. This strategy recognises that the Group needs to prioritise its resources in the current challenging economic environment.