Sainsbury boosted by statement

Sainsbury has received a much-needed boost with the publication of its 'progress report' ahead of November's official half-year results.

Sainsbury has received a much-needed boost with the publication of its 'progress report' ahead of November's official half-year results.

The report claimed that profits were in line with expectations and hinted that the company - which is Britain's second-largest supermarket chain - sell its DIY division, Homebase, within weeks.

It said that the strategic review of the business, which could include the sale of Homebase, "would take a few more weeks to complete".

CEO Sir Peter Davis said he was pleased with the advances made in a three-year-plan to turn around the company's fortunes. He said that plans to outsource IT and technology systems were "well advanced" and would "give us a totally new platform for our systems within two and a half years."

Davis also said that stores would see a significant increase in the amount of the space given over to fresh and chilled products.

The company is also hoping to build three new depots at Warwickshire, Rugby and Watlham Point.