By Lee Hyo-sik
Lotte Duty Free, Korea's largest duty free shop operator, has been selected as a preferred bidder to run a store at A.B. Won Pat Guam International Airport for 10 years. The company said it will operate a 2,250 square-meter store selling cosmetics, tobacco, liquor and other items. It expects to earn more than 1 trillion won ($900 million) in sales through 2022 if the deal is completed.
Lotte was engaged in fierce competition with its domestic rival Shilla Duty Free, Australia's James Richardson Group and U.S.-based DFS Group. DFS has operated the shop at Guam airport for the past 30 years.
Lotte said it will emerge as the world's second-largest tax-free shop operator by 2015.
It opened a shop at Singapore's Changi International Airport last November, its second at one of the world's largest airports. Six months earlier, Lotte won a contract to operate a 300 square-meter site at the airport's No. 1 terminal through 2017.
The company plans to open a duty free shop in downtown Jakarta in June to target an increasing number of Indonesians heading overseas and foreign tourists visiting the Southeast Asian nation. The outlet will market cosmetics, jewelry and other high-priced items popular with travelers.