French food retailer Guyenne et Gascogne has reported flat sales for the third quarter of the year amid “faltering” food consumption and “persistent difficulties” in non-food.

The Carrefour franchisee announced third-quarter sales, excluding fuel, of EUR129.4m (US$179.4m).

The third-quarter static sales compared to a 4.1% increase in sales over the first the nine months of 2010 when consolidated sales rose 4.1% to EUR448.7m.

Guyenne et Gascogne, which runs stores in France and Spain, said on Monday (18 October) that it had been affected by the still delicate economic environment and food deflation south of the Pyrenees.

However, it added: “Thanks to its effective control over distribution costs, which has been confirmed, Centros Comerciales Carrefour is ready to emerge from this crisis without any major issues and seize new opportunities for expansion.”