General retailer Woolworths has reported flat sales for the Christmas and New Year period, with like-for-like sales down 0.8%.

Woolworths also warned that its contract to supply CDs to Tesco may not be renewed when it runs out in 2007.

Woolworths added that total group sales for the 50 weeks to January 14 were down 4.1%, with like-for-like sales in Woolworths Mainchain, including multi-channel retail, down 3.9%.