International News - Wal-Mart push planned for George clothing label

Asda's clothing business George is to expand into new Wal-Mart markets in the spring as the world's biggest company ramps up its global sourcing strategy.

George has proved a success in Wal-Mart stores in the US and is being rolled out across the country. Next year, the label will make its debut in Canada, Mexico and South Korea.

The new spring range is being developed in the UK and will then be taken to the other markets, ensuring that a consistent range is available. Previously, the US stores carried a different offer from the UK.

The links between Asda and Wal-Mart have strengthened in the last year as the two businesses jointly sourced non-food ranges for stores on both sides of the pond.

Separately, Wal-Mart last week announced a substantial expansion programme for next year. The retailer plans 465 new or converted shops, including 335 in the US.

The drive will give Wal-Mart an additional 4 million sq m of space - equivalent to 8 per cent of the present total.

Wal-Mart's capital expenditure is to increase next year by approximately£1 billion to£11 billion.

In Germany, Wal-Mart will open a second distribution centre in the second half of next year, suggesting that the stores giant is to continue expansion in the country despite its difficulties there.

Wal-Mart Germany president D Kay Hafner said: 'This is another clear indication that Wal-Mart is continuing to invest in German operations.'