ALBERTSON'S BUYING OUT LUCKY CHAIN; ANALYSTS SEE INCREASE IN PRICES, SPECIALTIES.Byline: Deborah Deborah (dĕb`ōrə), in the Bible, prophetess and judge of Israel, the only woman to hold that office. Under her guidance Barak conquered Sisera and delivered Israel from the oppression of the Canaanite King Jabin. Adamson “Adamson” redirects here. For other uses, see Adamson (disambiguation).
The Adamson was an English car manufactured in Enfield, Middlesex, from 1912 to 1925. Daily News Staff Writer Entrenching itself overnight in the Southern California Southern California, also colloquially known as SoCal, is the southern portion of the U.S. state of California. Centered on the cities of Los Angeles and San Diego, Southern California is home to nearly 24 million people and is the nation's second most populated region, market after years of frustration, Albertson's Inc. announced Monday Monday: see week. that it is acquiring the parent company of Lucky and Sav-on for $11.7 billion in an exchange of stock and the assumption of debt. The combined company, which will retain the Albertson's corporate name but is expected to keep each chain's independent identity, will become the largest grocery and drugstore chain in the country. It will be headquartered in Boise, Idaho “Boise” redirects here. For other uses, see Boise (disambiguation). Boise is the capital and most populous city of the U.S. state of Idaho. It is the county seat of Ada County and the principal city of the Boise metropolitan area. . The acquisition comes at a time when supermarket food revenues are under attack by large retailers such as Wal-Mart and Kmart and warehouse clubs like Costco. That competition has spurred numerous supermarket mergers, the most recent of which was the Ralphs Grocery Co. and Hughes Family Markets combination under Fred Meyer that closed in February. ``This is a strategic combination that will strengthen both companies,'' said Victor Lund, chairman and chief executive of American Stores American Stores was the name of a United States chain of supermarkets. It was formed in 1917 when Acme Markets merged with four other Philadelphia area grocery chains into American Stores. American Stores would grow to 1,700 stores in 40 states with $15 billion in sales. Co., the Salt Lake City-based parent of Lucky and Sav-on. ``I think it's a logical merger.'' While executives don't expect to change store names, some individual locations might be converted into one of the company's other formats. In addition, analysts predict that as Albertson's adds more services to its Lucky stores Lucky Stores is an American grocery chain founded in Alameda County, California in 1935. Lucky is currently operated by Supervalu in Southern California and Nevada and by Save Mart in Northern California. , prices will probably creep upward. In the near future, prices and merchandise likely won't change much, said Les Childress, a principal at Childress Investment Research in Seattle. In the long run, however, it's rare to see prices drop after a merger turns rivals into partners, he pointed out. Albertson's ``is not necessarily going to be the lowest'' priced grocer because of the company's focus on providing more customer services, said Patrick Schumann, a supermarket analyst at Edward Jones Edward, Eddie, or Ed Jones is the name of: Edward Jones:
Albertson's spokeswoman Jenny Enochson said the company ``does not have any immediate plans to make any drastic changes. Both companies have traditionally been low-price leaders and it's a position we plan to maintain.'' It's not clear yet whether some stores will be closed in Southern California, nor is it certain that the Lucky/Sav-on Rewards Card will be kept since Albertson's does not have one. The card provides customers with additional savings on selected items, but requires them to register for the service and thus turn over personal information that can be sold to marketers. However, Enochson said it's possible that the Lucky/Sav-on card will remain available while Albertson's will remain card-free. Albertson's has wanted to increase its presence in the Southern California market but was never successful because the competition was too heavy, said Walt Heller, vice president of research at Progressive Grocer, a Darien, Conn., trade magazine. The competitive supermarket industry in the Southland south·land or South·land n. A region in the south of a country or an area. south  land·er n.Noun 1. also had thwarted thwart tr.v. thwart·ed, thwart·ing, thwarts 1. To prevent the occurrence, realization, or attainment of: They thwarted her plans. 2. the efforts of Smith's Food & Drug Centers of Salt Lake City, which tried to enter the market twice. Smith's is now a division of Fred Meyer. Schumann said it's cheaper and more effective for Albertson's to acquire an established chain instead of building its own. By picking American Stores, Albertson's executives get the store base that they want and can run the expanded chain more efficiently than its current management. Albertson's, with 916 stores in 23 Western, Midwestern and Southern states Southern States U.S. Confederacy government of 11 Southern states that left the Union in 1860. [Am. Hist.: EB, III: 73] Dixie popular name for Southern states in U.S. and for song. [Am. Hist. , is known as one of the most profitable market operators in the industry. American Stores, on the other hand, has struggled with declining profitability at its 1,558 stores in 26 states. A restructuring restructuring - The transformation from one representation form to another at the same relative abstraction level, while preserving the subject system's external behaviour (functionality and semantics). program more than a year ago to turn the company around didn't work out, Schumann said. The merger also gives Albertson's the Sav-on drugstore chain, which company officials and analysts believe will be an avenue of growth for the new company. Albertson's has in-store pharmacies This article is a list of major pharmacies (also known as chemists and drugstores) by country. Australia Pharmacies in Australia are mostly independently-owned by pharmacists, often operated as franchises of retail brands offered by the three major but does not have stand-alone drugstores. The new company will operate more than 2,474 stores in 37 states and employ more than 218,000 people. Combined 1998 revenues are estimated at $36 billion. The deal, which was approved by both firms' directors, still needs a green light from shareholders and regulators. It is expected to close in early 1999. Gary Michael, chairman and chief executive of Albertson's, will assume the same positions at the new company; Lund will be vice chairman. The board of directors will expand to 20 from 15 members, to add Lund and four other American Stores directors. WHO OWNS WHAT? Here are a few of the major chains in the area that are owned by larger companies: Chain: Lucky, Albertson's Owner: Albertson's Inc. (x) HQ: Boise, Idaho Chain: Ralphs, Hughes, Food 4 Less, Smith's Owner: Albertson's Inc. (x) Owner: Fred Meyer Inc. HQ: Portland, Ore. Chain: Vons, Pavilions, Safeway Owner: Safeway Inc. HQ: Pleasanton, Calif. (x) Pending SOURCE: Daily News Research CAPTION(S): Box BOX: WHO OWNS WHAT? (see text) |
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