Courtbacked talks with creditors to last up to 5 months
Casino, Les Mousquetaires extend scope of partnerships
Casino shares down 3 as trading resumes

PARIS, May 26 Reuters French retailer Casino on Friday said it was officially starting courtbacked negotiations with its creditors as the heavily indebted group seeks a way out of its financial woes while weighing two tieup bids from wealthy investors.

Casino shares, which had been suspended since Monday evening, were down by over 3 as they resumed trading on Friday. The stock has lost over 30 so far this year.

Casino, which is headed and controlled by veteran entrepreneur JeanCharles Naouri and owns the Franprix and Monoprix chains, has been plagued for years by hefty debt following a string of acquisitions and by declining revenues and loss of market share in an increasingly competitive domestic market.

The group said the Paris Commercial Court had decided to open a conciliation procedure for the benefit of Casino and certain of its subsidiaries for an initial period of four months, which may be extended by one month.

The talks will be overseen by courtappointed officials Aurelia Perdereau and Marc Senechal.

The purpose of this procedure is to enable the Casino group to engage in discussions with its financial creditors within a legally secure framework, the statement said.

Casino had a consolidated net debt of 6.4 billion euros 7.05 billion at the end of last year. It faces 3 billion euros39; worth of debt…