BENTONVILLE, Ark. — Wal-Mart Stores here will continue to slow its pace of new-store growth in the U.S. and shift its spending toward remodels and overseas expansion, the company said in a meeting with investors and analysts yesterday.
Although total capital expenditures for fiscal 2011 — which begins early next year — will increase to a range of $7 billion to $8 billion in the U.S., up from about $6.6 billion to $6.8 billion in the current fiscal year, square footage growth is expected to decline as the company builds smaller stores and focuses on Project Impact remodels. In the U.S., Wal-Mart will add 11 million square feet in fiscal 2011, vs. 14 million this year.
Companywide cap-ex is expected to be between $13 billion and $15 billion next year, up from a range of $12.5 billion to $13.1 billion in the current fiscal year. Total square footage growth will be about 37 million square feet, the company projected, vs. 38 million square feet this year.
International investment will include $4.5 billion to $5 billion of cap-ex for 25 million new square feet, up from $4.2 billion to $4.4 billion for 23 million square feet this year.
Read More of Today's Headlines