Yesterday, Wal-mart announced that it had obtained a 51% share in Central American Retail Holding Company (Carhco), which owns 375 supermarkets in Central America, which in turn owns the formerly local company Corporación Supermercados Unidos and the Corporación de Companías Agroindustriales. In September of 2005 Wal-mart obtained 33.3% of the shares, officials announced that plans were to obtain a 51% share by 2007 but negotiations bore fruit earlier. Walmart is now the majority stock holder in 125 supermarkets in Costa Rica, 124 in Guatemala, 58 in El Salvador, 35 in Honduras and 33 in Nicaragua. Carhco will henceforth be known as Wal-mart Centroamérica.
Expansion Plans

Aquileo Sánchez, director of Corporate Affairs at CSU, stated that the objective of Wal-Mart Central America will be to expand in the coming years. The company expects to increase its workforce of 23,000 workers to 30,000 within 2 years.

Plans for expansion in Costa Rica are not yet definite, but will take place “according to the needs of our clients”. Regarding international criticisms about employee treatment with low salaries and low coverage Sanchez maintained that “Wal-mart respects the legislation in each country where it operates, has respect for its workers, and the current employee benefits will not be revised or touched. “

Costa Rican Rodrigo Uribe will be the chairman of the board of Wal-Mart Centroamérica and Guatemalan Fernando Paiz will be the vice-chairman. Uribe said that “This will permit our company to provide a better assortment, better services and better prices to consumers in Central America. Wal-Mart Centroamérica will bring more opportunities for growth to our collaborators and providers, maintaining the sense of social responsibility that characterizes us.”