Trading Statement

Tesco PLC
15 January 2008


                     CHRISTMAS & NEW YEAR TRADING STATEMENT
                             STRONG GROWTH AT TESCO


The Tesco Group has delivered a strong performance and record sales over the
Christmas and New Year period, driven by rapid expansion internationally and
solid growth in the UK. In the six weeks to 5 January 2008, Group sales
increased by 12.8%, a faster rate of growth than in our third quarter.

Excellent Progress in International

Our overseas businesses traded well over the Christmas and New Year period, with
International sales growing by 26.9%, with strong growth in both Europe and
Asia.

In Central Europe we saw sales growth of almost 30% and in some of our newer
countries we saw exceptionally good progress - with, for example, Turkey growing
by more than 80% and Malaysia by more than 60%.

In the US, the early customer response to Fresh & Easy has been very
encouraging. We now have 28 stores trading in Southern California, Las Vegas and
Phoenix.

Solid UK Performance

Total UK sales grew by 8.0%, comprising like-for-like growth of 5.1% and 2.9%
from net new space. Like-for-like sales excluding petrol, increased by 3.1% in
the period.

The Tesco team delivered an even better shopping trip for customers than last
year and a profitable seasonal period for the business - by providing high
standards of service and availability whilst meeting the challenges posed by
having two short trading days immediately before Christmas.

Non-food sales performed well with good market share growth across most
categories, including clothing, entertainment and books.

Our on-line businesses, tesco.com and Tesco Direct, had a very successful
Christmas, with total sales up by 24% to over £190 million with well over 2
million orders delivered in the six weeks. Sales of MP3 players, digital cameras
and laptops were particularly strong.


Contacts:-

Investor Relations:         Steve Webb                  01992 644 800
Press:                      Jonathan Church             01992 646 606
                            Angus Maitland              020 7379 5151



                      This information is provided by RNS
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