(Jan. 19, 4:47 p.m.) Eden Prairie, Minn.-based Supervalu Inc., the grocery chain that’s a parent company to Albertsons among others, is planning to close approximately 50 stores this year as part of strategic cost-cutting moves.
Many stores being considered for closure are among those Supervalu acquired when Albertsons was sold in 2006, Supervalu chairman and chief executive officer Jeff Noddle recently told The Idaho Statesman. However, the company is still working to finalize those plans.
Store closure announcements made thus far include:
- five Cub Foods stores in Beloit, Wis., Green Bay, Wis. (2), Madison, Wis. and Peoria, Ill.
- seven Albertsons stores in Utah, Las Vegas and Southern California.
- four Lucky stores in Las Vegas.
- two Farm Fresh stores in Norfolk, Va.
- four Acme Markets.
Sales are expected to remain steady into next year, but “price has become a key criteria when customers are choosing a place to shop,” Noddle told the Statesman.
“Supervalu continuously evaluates its stores to identify opportunities to strengthen its overall business and, when necessary, closes stores that are not meeting its goals,” Susie Bell, corporate public affairs manager of Supervalu, said in an e-mail. “While these decisions are always difficult, given the impact on associates and customers, they ultimately allow us to operate more efficiently and effectively within a highly competitive retail environment.”
To boost sales, the chain plans on investing in more discounts, promotions and targeted marketing.
To cut costs, Supervalu will seek improved labor efficiency and loss prevention, Noddle said in the Statesman.