Belgium-based retailer Delhaize has implemented cross-guarantees with its US subsidiary, the company announced today (23 May).

The parent company and Delhaize America will guarantee each other's existing and future unsubordinated financial debt obligations.

Pierre-Olivier Beckers, President and CEO of Delhaize Group said: "The implementation of cross-guarantees will improve Delhaize Group's access to the capital markets and increase our financial flexibility."

Earlier this month, Delhaize said the weak dollar had eaten away at its first-quarter sales and earnings.

The company, which has a presence in eight countries, saw operating profit rise 1% to EUR229.6m (US$310.7m). Stripping out currency fluctuations, profits rose 8.2%.