Some Albertsons, other stores to close

Supervalu/AP

(AP) NEW YORK - Supervalu (SVU) said Wednesday that will close another 60 underperforming stores as it pushes to turn around its struggling business.

Complete list of Supervalu stores expected to close permanently

The grocery store operator, based in Eden Prairie, Minn., said the closures include Albertsons, ACME and Save-A-Lot stores in various states.

Most are expected to close by Dec. 1. The company is notifying employees at the targeted stores Wednesday, but did not say how many would be affected.

CEO Wayne Sales, who took the top spot in late July, says the closures reflect the company's commitment to moving "with a greater sense of urgency to reduce costs and improve shareholder value."

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In June the company said its first-quarter profit fell by nearly half as revenue tumbled. It suspended its dividend and said it was reviewing its options with financial advisers, a process that typically includes the possibility of selling the company. The next month, the company fired CEO Craig Herkert and tapped Sales to lead the turnaround effort. Sales had been serving as chairman.

Supervalu and other supermarket chains have struggled in recent years amid intensifying competition from big-box retailers such as Target Corp. and Wal-Mart Corp., as well as dollar stores and drugstores that are expanding their grocery sections and luring away customers with lower prices.

But even among its peers, Supervalu has been a laggard and has failed to adapt.

The company says it expects the store closures to result in a noncash, pre-tax charge of $80 million to $90 million for its fiscal 2013. But the closures are expected to generate $35 million in cash in the next year and between $80 million and $90 million in the next three years.

The company says the stores closing include 18 Albertsons in Southern California and eight Albertsons in Washington and Oregon. Also targeted: four ACME stores in Pennsylvania, New Jersey and Maryland, and 22 Save-A-Lot stores, spread across seven states.

Eight others to be shut were not disclosed because of ongoing contract discussions.

Supervalu previously said it will close an Albertsons in Southern California and Jewel Osco in Indiana.

The company operates about 4,400 stores in the U.S. Its shares rose 2 cents to close at $2.26.

[pockyclips2020]

Albertson's still better than Wallyworld, even with higher prices.
Newer stores are getting too big.

[justtomakeacommet]

I also think that the customer service you get at the Washingon store is terrible. Since the couponing the employees attitudes really suck.

I no longer want to shop at North Auburn store do to their rudeness. It is sad but ya know what since the employees think we couponers are a bother to them this is what they get...

I spent lot's of real cash as well as received some great items for free using coupons. However, when I would have a plan with my coupones and something went wrong they would look at me like I was taking up their time and I was holding up the line. Though I was I still had a cart full of stuff that I didn't have coupones for. The way they treat the twice the value couponers makes me never want to go back.

I just always felt unwelcome in this store and am honesly no suprised they are closing this store. South Albertsons customer service is 100% better and so are the employees. They still give had times but no where near North Auburn

[shenboe]

It was just announced at the DNConvention that President Obama took credit for closing the 60 stores on his watch.

[askagain]

Read the last line. This chain operates 4,400 stores. It is only closing 60 underperforming stores. Most chains have undeperforming or non-profitable stores. Changes in competition, expenses, demographics, and local economies affect a store's profitability. Even the age of a store can be a factor as new, modern stores move into an area. Even after these 60 stores are closed, the chain still operates 4,340 stores.

[JoeBGud13]

Try taking your Political BS somewhere else. These stores were not preforming, and had not been, giving a profit for the Mother company for years due to competition from newer and better stores.

Nothing to do with your political whinning. You evidently are either completely uniformed or the Biggest Liar around.

Which is it?