Stabilizing group franchise Diversification in both business and geography Sound financial profile, backed by progress in net debt reductions Low profitability on an unconsolidated basis due to weak profits in apparel and household products compared with specialty stores Difficult business environment for Japanese general merchandise store operators, from fierce competition among various types of retailers Aeon Co. Ltd.'s strengths are in the development and operation of shopping centers, and the financial service business. In line with expansion of these two segments, the company has differentiated itself from its competitors and diversified its profit sources, which has further helped to stabilize the Aeon group's business franchise. Aeon's business is adequately diversified. The group generates about 50% of EBITDA from general merchandise
