February 8, 2015 at 12:09 am #6392paulwalkerParticipant
In the midst of moving I guess I missed this, but apparently Albertsons and Safeway are merging in many markets.
in others, the stores will be divested and become Wegmanns.
Some Albertsons will become Wegmanns, and some Safeways will also become this brand. This is one of the biggest shakeups in the grocery biz in years. Anyone have any thoghts on how this will shake out?
i guessFebruary 8, 2015 at 12:53 am #6398skepticalParticipant
Both Albertsons and Safeway have many union stores (family wage income). If any outright close, it’ll hurt some people, especially if they yield to a Walmart. If an existing union store converts to a Wegmans, it’ll probably remain union unless Wegmans does something drastic like fire everyone and tell them to re-apply. I don’t know for sure what’s in their contracts.
Albertsons, although union, was always a poor employer, crappy to their employees. They were always “behind the curve” marketing-wise. Financially a wash — money in, money out, no real profit for years. Maybe losing money as of late. I’m no longer privy to that info.
Safeway is (was?) much better to work for, but I believe Walmart hurt Safeway the most because they were much better than Albertsons overall.
Fred Meyer is a cash cow, still. Great to employees, cutting edge in marketing and deflecting competition encroachment. Although Freddys spreads a LOT of money around the NW, profits now go to Ohio.February 8, 2015 at 1:14 am #6399skepticalParticipant
Paul, I believe the biggest shake up was when Supervalu bought Albertsons for $10 to $17 billion in 2006 then later turned around and unloaded them in 2013 for just $100 million in cash, with the buyer also assuming $3.2 billion in existing debt.
With the 2006 buy, Supervalu became the #2 grocer behind Kroger. Now, in 2015 both Supervalu and Albertson are just floundering fish.
IMO. the all-time retailer “shake-up” goes to long-time NW retailer GI Joes who sold themselves to CA investors for $50 million and died just over a year later. Heh. The only food they sold though, was fishbait.February 8, 2015 at 1:26 pm #6411Master of DisasterParticipant
Several locations around here will become Haggen’s:
The above link has links to PDFs listing what stores are going to what chains.
And the Lake Oswego Albertson’s will close:
http://www.oregonlive.com/lake-oswego/index.ssf/2015/01/one_albertsons_in_lake_oswego.htmlFebruary 8, 2015 at 4:39 pm #6423paulwalkerParticipant
Thanks for the clarification. Haggens, not Weggmans, my mistake. However, the end result means less Safeways and Albertsons, and more Haggens, based in Bellingham. I wonder if Albertsons will someday adopt the Safeway name. And yes, this merger happened in March of lasr year, the divestation is the new news here.
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