LIQUOR STORES NA LTD 4.70 PCT DEBS T.LIQ.DB.B

Purchasing Efficiencies of LIQ

[Goldbuggy1]

We all know that in Alberta and BC Liquor is sold at the same price to all vendors, regardless of location or if they buy 1,000 Cases or 100. LIQ has gotten around this a little bit, with there Preferred Labels, but generally everyone pays the same price from the Wholesaler. But this is not so for the USA. In the USA LIQ can negotiate volume-discounts on their liquor purchases. With the fat wallet and / or at least easy credit, this gives LIQ a huge advantage over it's competitors. So their Gross Profit Margin or Sales at least, should be up. Also considering that if all goes to plan LIQ will have at least 50% of there sales coming from outside of Alberta this summer and perhaps about 35% from just the USA.