Supervalu has announced in a news statement that it will close approximately 60 underperforming or non-strategic stores this fiscal year including 38 outlets in its retail food reporting segment and 22 Save-A-Lot locations.
The majority of the stores are expected to close before 1 December, the end of the company’s fiscal 2013 third quarter.
The closures in the retail food segment include 27 Albertsons stores (19 in Southern California, including one previously announced location, and eight in the Intermountain West region), four ACME stores, and one previously announced Jewel-Osco location.
Eightadditional stores are included in this announcement but due to ongoing contractual discussions the specific details of each store are not being disclosed at this time.
All eightoutlets areexpected to close by the end ofSupervalu’s fiscal yearwhich is February 23, 2013.
“These decisions are never easy because of the impact a store closure has on our team members, our customers, and our communities,” said Wayne Sales, Supervalu’s president, chief executive officer, and chairman.
“Today’s announcement reflects our commitment to move with a greater sense of urgency to reduce costs and improve shareholder value.”
Supervalu said its expects the closures expected to generate US$35m in cash within 12 months and US$80-90m over the next three years.
Supervalu is one of the largest companies in the US grocery market with annual sales of approximately US$35bn.
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