Somerfield has unveiled a massive turnaround in sales and debt as it prepares to be swallowed by the Co-operative Group.

The chain, which agreed to be bought by Co-op Group in July for £1.57bn, said like-for-like sales in the year to 28 April rose 2.5% against a 2.4% drop the year before.

This momentum continued throughout 2008 with like-for-like sales up 5.4% in the half-year to 8 November.

Debt was reduced from £882m in the year before to £770m while earnings before interest and tax rose from £218m to £226m.

“Somerfield continues to benefit from the strong execution of our turnaround strategy,” said CEO Paul Mason.

“This transformation places us in the best possible position to benefit from the strong strategic fit and shared vision that the acquisition by the Co-op Group offers.”

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