Albertsons LLC
| File:Albertsons.svg | |
| Company type | Private |
|---|---|
| Industry | Retail |
| Founded | 2006 |
| Headquarters | Boise, Idaho |
Key people | Robert Miller, CEO |
| Products | Bakery, dairy, deli, frozen foods, general grocery, meat, pharmacy, produce, seafood, snacks, liquor |
| Revenue | US$6.0 billion (2007) |
Number of employees | 234,000 (2006) |
| Website | www.albertsonsmarket.com |
Albertsons LLC is a North American grocery company based in Boise, Idaho, with over 240[1] supermarkets located in Arizona, New Mexico, Colorado, Texas, Louisiana, Arkansas, and Florida under the Albertson's, County Line Liquor and Super Saver Foods banners.[2] While Albertsons LLC is majority-owned by Cerberus Capital Management, the "Albertsons" name is used under license with SuperValu.
Supermarket News ranked Albertsons LLC No. 24 in the 2008 "Top 75 North American Food Retailers" based on 2007 fiscal year estimated sales of US$6.0 billion.[3]
Background
Albertsons LLC is one of the successor companies to Albertson's, Inc. Albertson's was founded by Joe Albertson in 1939 in Boise, Idaho, USA. The store was filled with perks that, at the time, were brand new: free parking, a money-back guarantee, even an ice cream shop. The store was located at 16th and State Streets in downtown Boise.
On January 23, 2006, Albertsons, Inc., agreed to be acquired by SuperValu, a Cerberus-led group of investors, and CVS/pharmacy. The acquisition was completed on June 2, 2006 with the Cerberus-led group (who also included Kimco Realty Corporation, Schottenstein Stores Corp., Lubert-Adler Partners, and Klaff Realty) acquiring 661 stores and the distribution centers and offices from five of Albertsons divisions: the Dallas/Fort Worth division (Texas, Oklahoma, Louisiana, and Arkansas), the Rocky Mountain division (Colorado, Wyoming, Utah, and South Dakota), the Southwest division (Arizona and New Mexico), the Florida division (Florida), and the Northern California division (northern California and northern Nevada). These five divisions were thought to be Albertsons' five weakest divisions, and conventional wisdom in the industry was that the stores would eventually be closed or sold to other operators.
Reorganization
Store Closures
On June 6, 2006, Albertsons LLC announced their intent to close 100 Albertsons stores by August 2006, only one week after Albertsons LLC was created.[4] Soon after, Albertsons LLC announced that it would be shutting down its online delivery service on July 21, 2006.[5] It was announced on November 27, 2006 that Albertsons LLC signed an agreement with Save Mart Supermarkets to sell its Northern California and Northern Nevada Albertsons locations. Save Mart began operating the 132 new stores as of February 2007.[6]
Albertsons LLC announced in December 2006 that it would be closing five unprofitable stores in North Texas. The closures will leave Albertsons LLC with 78 stores in the Dallas-Fort Worth market.[7] It was announced on January 29, 2007, that 11 more stores in Texas would be shuttered, including six in the Dallas area and two in the Austin area. After the closures, Albertsons will operate 71 stores in Dallas-Fort Worth and 93 in Texas.[8] It was announced on September 12, 2007, that Albertson's would exit the Austin, Texas, market by selling its three remaining units to H-E-B, along with two previously shuttered facilities.
Store closings were also announced for Arizona and Colorado, when it was announced in January 2007 that eight Albertsons and two Grocery Warehouse stores would be closed.[9][10]
On June 19, 2007, Albertsons LLC announced plans to exit the Oklahoma market, closing or selling all 26 stores in the state. Also, the Dallas-Fort Worth division will outsource their grocery distribution operations by selling their Fort Worth Distribution Center to Associated Wholesale Grocers.[11] A large number of former stores reopened under the banner of Food Pyramid.
On June 12, 2007, Albertsons LLC agreed to acquire all Raley’s locations in New Mexico. The acquisition includes one closed and eight operating stores in Albuquerque and one store in Taos, thus doubling Albertsons store base in the Albuquerque region.[12] These stores were originally Albertsons and Lucky stores that the former Albertsons Inc. was required to divest in 1998 when it merged with American Stores.
On June 20, 2007, Albertsons LLC officially announces to discontinue its Preferred Savings Card Program and will instead offer discounted items to all of its customers.[13]
On September 26, 2007, all Albertsons stores in the Dallas/Fort Worth, Texas, and Florida market began collecting their Albertson's Preferred Savings Cards.[14]
On December December 19, 2007 SuperValu Inc. agreed to acquire the eight remaining Albertsons stores from Albertsons LLC in Wyoming not already owned by the company. These include stores in Casper, Cheyenne, Cody, Gillette, Laramie, and Sheridan. These stores will continue to operate under the Albersons banner [15]
On February 3, 2008, in Tallahassee, Florida, Albertsons announced that they were closing both Albertsons stores in Tallahassee. One of the locations was destroyed and converted into a Kohl's. The other location sits abandoned.
On May 28, 2008, Albertsons LLC announced plans to close one of its two remaining stores in College Station, Texas.[16]
On February 2009, Albertsons LLC closed a Mesa, Arizona, Albertsons at Stapley and University.
On August 24 and 25, 2009, Albertsons LLC announced plans to close a total of nine stores and one distribution center. The planned closings will affect five stores and one distribution center located in Colorado, and four of the stores located Florida by the end of October 2009.[17][18][19]
On October 5, 2009, Albertsons LLC announced plans to close 3 stores in the Orlando, FL area. The stores located at John Young Parkway and Highway 192 in Kissimmee, Orange Blossom Trail and Deerfield Ave in South Orlando, and the store located at Curry Ford Road and Semoran Ave were all sold to Sedano's Supermarket. These Albertsons closed January 3, 2010, with the take over by Sedano's January 7, 2010.[20]
In January 2010, Albertsons LLC announced plans to close 8 more stores in the Florida Division. The stores closed included #4360 in Pembroke Pines, #4371 in Boca Raton, and #4383 in Delray Beach, as well as stores in Melbourne, Oviedo, Sanford, Loxahatchee, and Lake Worth. All the stores permanently closed in early February 2010. The closings left Albertsons LLC with 20 stores in the Florida Division.
In January 2011, Albertsons LLC announced plans to close 7 more stores in Texas, including 5 in the DFW Division. These stores included #4288 in Southlake, #4209 in San Angelo, #4208 in Tyler, #4147 in Plano, #4125 in Richardson, #4118 in Garland and #4107 in Carrollton. All 7 stores permanently closed in mid-late February 2011.
Albertsons Express divestiture
On May 5, 2008, Albertsons LLC announced the sale and divestiture of all 72 of the Albertsons Express fuel centers to San Antonio, Texas-based Valero Energy Corporation. Most of the Albertsons Express stores were located in the Phoenix, Arizona; Denver, Colorado; Baton Rouge and Lafayette, Louisiana; and Dallas-Ft. Worth markets. The transaction was completed in August 2008. Valero converted the acquired locations into Valero Corner Stores.
Publix acquisitions
On June 9, 2008, Albertsons LLC entered into an agreement with Lakeland, Florida-based Publix stores involving the sale of 49 Albertsons stores in Florida to Publix. This affected 15 stores in Northern and Northwest Florida, 30 locations in Central Florida, and four locations in South Florida. The sale was completed in September.[21]
References
- ^ http://www.albertsonsmarket.com/newsroom/archive/02_09_09.php
- ^ More Albertsons Closings Announced - Morning News Beat, June 14, 2006
- ^ 2008 Top 75 North American Food Retailers, Supermarket News, Last accessed January 23, 2008.
- ^ Albertsons to close 100 of its stores Desert News (Salt Lake City), June 8, 2006
- ^ Albertson's LLC to Close Shutter Online Shopping Service Progressive Grocer/AllBusiness.com, Thursday, July 13, 2006
- ^ Albertsons is sold in Northern California AllBusiness, November 28, 2006
- ^ Albertsons LLC to Close Five Texas Stores, Supermarket News, December 4, 2006.
- ^ Albertsons to close 6 D-FW stores, The Dallas Morning News, January 29, 2007.
- ^ Oro Valley Albertsons to close; employees keep jobs, Arizona Daily Star, January 24, 2007.
- ^ Albertsons to close nine stores, Rocky Mountain News, January 20, 2007.
- ^ Albertson's is leaving Oklahoma, The Dallas Morning News, June 20, 2007.
- ^ Albertson's LLC to Acquire Raley's New Mexico Stores, PR Newswire, Wednesday, June 13, 2007.
- ^ Albertsons to discontinue loyalty cards today, The Arizona Republic, June 20, 2007.
- ^ Albertsons's ditches loyalty cards, Dallas News.com, Wednesday, September 27, 2007.
- ^ Supervalu will acquire Albertsons stores, The Casper Star Tribune, December 20, 2007.
- ^ One Albertsons in CS is closing, The Eagle, May 29, 2008.
- ^ Albertsons chain closing 5 stores in Colorado, The Denver Post, August 25, 2009.
- ^ Albertsons closing 5 Denver-area stores, Denver Business Journal, August 25, 2009.
- ^ Albertsons to close four Florida stores, South Florida Business Journal, August 24, 2009.
- ^ Sedano's supermarkets expanding to Orlando, Miami Herald, November 7, 2009.
- ^ Publix buying 49 Albertsons Stores AllBusiness Monday, June 9, 2008
