SUPERMARKET giant Asda plans to create 5,000 jobs this year and says it will spend £450 million investing in store development.

The group, bought by US giant Wal-Mart in August 1999, said it would create the jobs by building 13 stores over the year, including four resites or rebuilds.

It also plans to extend six existing stores, refurbish a quarter of its sites and open a distribution depot in Bedford, creating 600 jobs.

Paul Mason, Asda's chief operating officer, said: "This record level of investment by Wal-Mart in the UK is in line with our strategy of long-term market-share growth and good news for British customers who know that, when Wal-Mart comes to town, prices come down and stay down."

The plans are part of Asda's expansion drive announced a year ago when it said it would create 27,000 jobs over five years.

Asda will open nine new stores around the country.

None are in East Lancashire, where Asda already has five stores.

Stores are being rebuilt in Scotland, and Coventry, while two further stores are set for resiting. Asda will also extend six shops, including sites in Dundee and Brighton.

Asda added that, in 2002, the group would also become the anchor store in the Commonwealth Games regeneration development in Manchester.

The company has more than 240 stores in the UK.