by business editor Trevor Sturgess

The Co-op is shedding its sluggish image by posting another strong set of numbers, despite "tough economic conditions".

The member-owned store, financial services, travel agency and funerals group which has bought a string of Somerfield stores across the county reported an 11.5 per cent half-year sales boost to £3.9bn.

The Co-op - the UK's fifth largest grocery chain after Tesco, Sainsbury's, Asda and Morrisons - re-branded 2,500 food stores, including more than half the Somerfield stores.

Underlying trading profit was up 12.6 per cent to £169.7m, although total like-for-like sales were down one per cent, a dip blamed on the disruption of Somerfield integration. Like-for-like sales in rebranded and refitted stores rose by 2.5 per cent.

Group chief executive Peter Marks said: "Over the last three years The Co-operative Group has been transformed, underlining the strength of our ownership model which allows us to invest through economic cycles, in the long-term interests of our members and our customers."

He added: "As anticipated, 2010 has been challenging so far, with tough economic conditions across all our businesses.

"Looking ahead, however, we do not expect things to improve until late 2011 at the earliest."

The group employs 120,000 people and has more than five million members.