Walmart Execs Defend Flipkart Deal, Sam’s Club Closures

Walmart CEO Doug McMillon and his top management team on Friday were asked repeatedly by equity analysts about the recent $16 billion investment for a 77% majority stake in Indian e-tailer Flipkart.

The investors, in Fayetteville for the 2018 shareholders meeting, had plenty of questions about the timing of the blockbuster deal and sought more information on the metrics needed to sustainably grow the global and U.S. e-commerce business without compromising the U.S. store business which fuels the company financially.

McMillon said opportunities rarely come at a perfect time. He said with the solid growth in the U.S. business providing a strong financial foundation, the management and board believed the investment for the future was worth the short-term risk to earnings.    MORE

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