Wal-Mart's ASDA: more price cuts as grocery wars heat up

NEW YORK (AP) - Wal-Mart's ASDA, its United Kingdom operation, is investing another 500 million pounds ($721.9 million) in price cuts as the grocery discount wars escalate.

The investment is on top of the one billion pound investment ($1.44 billion) in prices begun in 2013 that ASDA planned over the next five years.

Wal-Mart's ASDA also said Sunday it has joined the European Marketing Distribution, which pools the collective buying power of 250 supermarket chains, so it can realize the savings.

The moves come as Wal-Mart and the country's top traditional grocery rivals like Tesco have been under siege by no frills discounters German-based Aldi and Lidl.

ASDA is expected to release fourth-quarter figures next month when Wal-Mart announces results. ASDA saw a key sales figure fall 4.6 percent in the third quarter.