• The company’s net income in 2008 was $965.3 million, a significant jump of 9% from 2007 when the company earned $888.4 million. The company had plenty of cash on hand, enough to keep Safeway financially flexible, with options available for expansion or renovation.

• The company’s net profit for each dollar of sales was also nearly identical to previous years, stronger than that of most of the competition.

• In fiscal year 2008, the company was able to consistently pay down debt, a sign of financial strength and a good protection against the tight credit market.

• Safeway has #1 market share in 35 markets and #1 or #2 positions in many metropolitan areas.

• The company’s profit increased to $238.6 million, up 2% from $234 million in the same quarter of 2008—and the company had $9.5 billion in sales for the second quarter of 2009.

• Safeway’s financial health was sound enough for the company to invest $185.8 million in repurchasing stock, and $202.1 million in improving existing stores and opening a new one.

• Steven A. Burd, Safeway’s Chairman, President and CEO, made almost $11 million in total compensation in 2008, up from $10.2 million in 2007 and $7.4 million in 2006. He is one of the highest paid CEOs in the industry, with total compensation up almost 50% in just 2 years.

• Several other Safeway executives make more than $1 million per year in total compensation, including all four Executive and Senior Vice Presidents.

SUPERVALU

BANNERS:  Acme, Acme Express, Jewel Express, Albertsons Express, Farm Fresh Fuel Express, Albertsons, Bigg’s, Bristol Farms, Cub Foods, Farm Fresh Food & Pharmacy, Hornbacher’s, Jewel and Jewel-Osco, Lazy Acres, Lucky, Osco and Save-on Pharmacy, Save-A-Lot, Shaw’s, Shop’n Save, Shoppers Food & Pharmacy, Star Market, Sunflower Market, and Supervalu Pharmacies.

BY THE NUMBERS
Signs of financial health:

• In 2008, Supervalu generated $44.56 billion in net sales compared to $44.05 billion in 2007.

AHOLD

BANNERS:  Giant Food, LLC, Stop & Shop Supermarket Company, Tops Markets, LLC, Peapod LLC.

Ahold is a large multi-national grocery retailer with almost 3,500 stores in the U.S., the Netherlands, Lithuania, Latvia, Estonia, Czech Republic, and Slovakia.  According to Fortune Global 500, Ahold reported over $59 billion in sales, ranking the company 5th in the world in terms of revenue in the food and drug industry for FY 2006.

Ahold operates nearly 800 supermarkets in 11 states and the District of Columbia and provides Internet-based home shopping services in the major metro markets through a partnership with Peapod.  Much of the corporation’s sales are concentrated in the Northeastern area of the U.S.  Competitive operating costs and solid market shares have made Ahold the seventh largest U.S. grocery retailer with $24 billion in 2006 U.S. sales.   

Approximately 86,000 of the Ahold’s 127,000 U.S. workers are represented by the UFCW. 

Corporate fraud and mismanagement threatened the company in 2003

In 2003, shareholders discovered that Ahold’s U.S. Foodservice division – since divested - overstated its earnings by $800 million, which caused the company’s market value to plunge by two-thirds.  The accounting scandal prompted a number of operational changes, including a major divestment program. As a result, Ahold’s overall sales declined from $70.6 billion in 2003 to $59 billion in 2006.  Ahold settled a class action shareholder lawsuit against U.S. Foodservice for $1.1 billion in 2004.

Despite these challenges, Ahold has continued to enjoy dominant market shares in all of its major metropolitan markets.  Ahold operates in 10 out of the 50 largest metropolitan areas in the U.S., with the highest market share in six of these areas (including a greater than one-third share in four), and the second highest market share in the remaining four. 

Divestitures and new growth program resulting in positive changes

In the past few years, Ahold has restructured its operations by selling and purchasing numerous operations worldwide.  In November 2006, the company announced the sale of all Tops stores and U.S. Foodservice in the U.S., as well as its operations in Poland and Slovakia and its joint venture in Portugal.   Ahold’s financial performance reflected the company’s turmoil during this period.  According to a Deutsche Bank analyst, “it's clear that performance is likely to get worse before it gets better as (the program) gets rolled out to more product areas." 

However, its performance is recovering, and analysts are taking notice of the company’s gains.  According to an Amsterdam-based trader, “Happy days are here again for Ahold.”  In August 2007, the retailer exceeded expectations and reported robust second-quarter sales driven by increased demand at all its stores across the U.S. and the Netherlands.  The company’s total sales from continued operations in the second quarter of 2007 rose to $9.15 billion, up 2 percent from $8.97 billion in the same period last year, due in part to its divestiture of U.S. Foodservice and its Polish operations.  According to an analyst at SNS Securities, “Ahold is headed in the right direction…  changes in the U.S. are progressing and seem to be working,”

LOBLAW COMPANIES

1 President's Choice Cir.
Brampton, Ontario L6Y 5S5, Canada
http://www.loblaw.com

Loblaw Companies Limited is the market share leader among Canadian supermarket operators.  Its corporate, franchised, and associated banners fly over more than 1,500 stores.  Trade names include Loblaws, Atlantic SaveEasy, Extra Foods, Fortinos, No Frills, Provigo, Your Independent Grocer, and Zehrs Markets. Its stores offer nearly 8,000 private-label products, including its President's Choice brand (featuring financial services, as well as traditional and organic grocery fare).  Loblaw is also Canada's largest wholesale food distributor.  Parent company George Weston owns about 63 percent of Loblaw's voting shares.  Sales in 2006 totaled $28.6 billion.  Approximately 68,876 of Loblaw’s 139,000 employees are represented by the UFCW.

WAKEFERN FOOD CORPORATION

600 York Street
Elizabeth, NJ 07207
http://www.shoprite.com

Wakefern Food is the largest retailer-owned supermarket cooperative in the U.S. The co-op is owned by 43 independent grocers who operate more than 200 ShopRite supermarkets in five eastern states, including New Jersey (where it is a leading chain). Wakefern also operates the PriceRite limited assortment chain throughout the northeast. Company management is aggressively resisting workers' efforts to organize with the UFCW at PriceRite stores - please visit Wakefern Workers United for more information.

THE GREAT ATLANTIC & PACIFIC TEA COMPANY

2 Paragon Drive
Montvale, NJ 07645
http://www.aptea.com
 

Banners include: A&P, Waldbaum, Pathmark, Best Cellars, The Food Emporium, Super Foodmart, Super Fresh, and Food Basics. 

The Great Atlantic & Pacific Tea Company, Inc. (A&P) operates 444 stores – including conventional supermarkets, food and drug stores, and limited assortment food stores in eight states and the District of Columbia.  Germany's Tengelmann Warenhandelsgesellschaft KG owns the largest stake in A&P. 

I

n fiscal 2007, A&P acquired Pathmark Stores—its rival in the Northeast—for about $1.4 billion.  The process of integrating these stores seems to be on track.  In the third quarter of fiscal 2008, A&P reported an adjusted income from operations of $17.4 million, versus a loss of $12.1 million the third quarter of fiscal 2007.

Sales for the previous fiscal year (2007) totaled $6.4 billion, an increase of 19 percent over the previous year.  Comparable store sales increased by 2.4 percent.  Also for 2007, the total number of employees reached 51,000 - approximately 32,000 are represented by the UFCW.

Sources: Fiscal 2007 10-K, Q3 2008 10-Q
 

GIANT EAGLE

101 Kappa Drive
Pittsburgh, PA 15238
http://www.gianteagle.com

Giant Eagle is the number one food retailer in Pittsburgh.  It operates about 150 corporate and nearly 80 franchised supermarkets, as well as more than 100 GetGo convenience stores, throughout Maryland, Pennsylvania, Ohio, and West Virginia.  In addition to food, many Giant Eagle stores feature video rental, banking, photo processing, and ready-to-eat meals. Giant Eagle is also a wholesaler to the licensed stores and sells groceries to other retail chains. Chairman and CEO David Shapira is the grandson of one of the five men who founded the company in 1931, and the founders' families own Giant Eagle.  Sales for 2006 totaled $6.2 billion. Approximately, 15,182 of Giant Eagles 36,000 employees are represented by the UFCW.

ROUNDY'S SUPERMARKETS, INC.

875 E. Wisconsin Ave.
Milwaukee, WI 53202
http://www.roundys.com

Roundy's Supermarkets owns and operates about 150 grocery stores in Wisconsin, Illinois, and Minnesota under the names Pick 'n Save, Copps Food Center, and Rainbow Foods.  The company also operates Metro Market, a smaller-format store concept in Milwaukee that specializes in gourmet foods and features an in-store cafe. In addition to its retail operations, Roundy's has three distribution centers that serve a small number of independent grocers, as well as its own stores.  Founded in 1872 by a partnership that included Judson Roundy, the company is owned by private equity firm Willis Stein & Partners.  In 2005, Roundy’s generated nearly $3.7 billion in net sales.  Approximately 8,231 of Roundy’s 21,000 employees are represented by the UFCW.

PATHMARK STORES, INC.

200 Milik St.
Carteret, NJ 07008
http://www.pathmark.com

Pathmark Stores, Inc., is a supermarket chain in New York, New Jersey and Philadelphia metropolitan areas, operating as a single segment. The company operated 140 supermarkets located in New Jersey, New York, Pennsylvania and Delaware in FY 2006.  Many of its stores are Pathmark Super Centers, which offer an expanded selection of general merchandise and foods.  Nearly all Pathmark Super Centers have pharmacies, and more than half have in-store banks. The supermarket chain briefly operated under Chapter 11 bankruptcy in mid -2000, emerging after two months as a public company and $1 billion lighter in debt.  The Yucaipa Companies, led by supermarket investor Ron Burkle, acquired 48 percent of Pathmark's shares in 2005.  A&P, Pathmark's rival in the Northeast, has agreed to acquire the chain for about $1.3 billion in a deal that will create a 550-store supermarket chain. Pathmark generated about $3.97 billion in net sales during FY 2006. Approximately 19,748 of Pathmark’s 22,400 employees are represented by the UFCW.

STATER BROS. HOLDINGS INC.
 

21700 Barton Rd.
Colton, CA 92324
http://www.staterbros.com

Stater Bros. Holdings operates 166 full-service Stater Bros. Markets in six counties in Southern California, over half of them in Riverside and San Bernardino counties.  The newest store opened in February 2009 in Carlsbad, CA (San Diego County), and the company has plans to open several more this year and do some remodels.  In 2008 Stater Bros opened a brand new consolidated office and distribution center on the former Norton Air Force Base in San Bernardino. The grocery chain also owns and operates milk and juice processor Santee Dairies (dba Heartland Farms), one of California’s largest milk processors; however it announced April 14, 2009, that it would sell Santee to Dean Foods.

Founded in 1936 by twin brothers Leo and Cleo Stater, the company is owned by Stater Bros. chairman and CEO Jack Brown, through La Cadena Investments. In fiscal year 2008, Stater Bros. generated $3.74 billion in sales.  In the quarter ending December 28, 2008, the company had almost $1 billion in sales. Same store sales increased 1.4 percent.   

Approximately 13,000 of the company’s 19,000 employees are represented by the UFCW.

RALEY'S INC.

500 W. Capitol Ave.
West Sacramento, CA 95605
http://www.raleys.com 

Raley's operates about 130 supermarkets and larger -sized superstores, mostly in Northern California and Nevada.  In addition to its flagship, Raley's Superstores, the company operates Bel Air Markets, Nob Hill Foods (an upscale Bay Area chain), and about a half dozen discount warehouse stores under the Food Source banner. Raley's stores typically offer groceries, natural foods, liquor, and pharmacies. Founded during the Depression by Thomas Porter Raley, the company is owned by Tom's daughter Joyce Raley Teel.  During FY 2006, Raley’s reported that net sales totaled $3.4 billion.  Approximately 7,526 of Raley’s 15,000 employees are represented by the UFCW.

SAVE MART SUPERMARKETS

1800 Standiford Ave.
Modesto, CA 95350

Save Mart Supermarkets has doubled in size in California and Nevada as a result of its recent acquisition of 132 Albertsons supermarkets, and the company now operates about 255 grocery stores in California and Nevada.  Its supermarkets and warehouse stores operate under the Save Mart Supermarkets, S-Mart, and FoodMaxx names. Save Mart also owns distributor SMART Refrigerated Transport. CEO Robert Piccinini owns most of Save Mart, which was founded in 1952 by his father, Mike

Piccinini, and uncle, Nick Tocco.  Save Mart had sales estimated at $2.6 billion in 2006 and the acquired Albertson’s stores will add an estimated $2.4 billion.  Approximately 16,033 of Save Mart’s 23,000 employees are represented by the UFCW.
 

DIERBERGS MARKETS INC.

16690 Swingley Ridge Rd.
Chesterfield, MO 63017
http://www.dierbergs.com

Dierbergs operates about 24 upscale supermarkets in the St. Louis area.  The company’s  stores offer food, drugs, photo processing, and video centers, as well as cooking schools, banks, self-service checkout, Krispy Kreme donuts, and made–to–order Chinese food at some locations.  Dierbergs Florist and Gifts, affiliated with FTD, offers gift baskets and floral services at its stores and over the Internet for local and international delivery. Founded as a trading outpost in 1854, the Dierberg family has owned and operated Dierbergs since 1914.  In 2006, Dierbergs had an estimated $447 million in net sales.  Approximately 3,484 of the company’s 4,126 employees are represented by the UFCW.

LUND FOOD HOLDINGS, INC.

4100 W. 50th St., Ste. 2100
Minneapolis, MN 55424
http://www.lundsmarket.com

Lund Food Holdings operates about 20 Lunds and Byerly's upscale grocery markets in the Twin Cities area of Minnesota.  The company took its present form in 1997 with the merger of Lunds and Byerly's. Both chains specialize in gourmet, high-quality foods, with locations offering artisan breads, bakeries, a line of organic foods and natural products, wine stores, florists, catering services, housewares, cooking demonstrations, and community meeting rooms. Byerly's also runs a culinary school out of one of its stores. Lund launched an online shopping and home delivery service in 2006, and is adding pharmacies to its stores through a partnership with Minnetonka-based PrairieStone Pharmacy.  Lund generated an estimated $488 million in FY 2005.  Approximately 3,632 of Lund’s 4,500 are represented by the UFCW.

OVERWAITEA FOOD GROUP

19855-92A Ave.

Langley, British Columbia V1M 3B6,

Canada

Overwaitea Food Group (OFG) is Western Canada's leading grocery retailer, and operates about 125 supermarkets under the Overwaitea Foods, Save-On-Foods, Urban Fare, and Cooper's Foods banners, among others. In addition to large selections of natural and bulk foods, OFG's stores also offer private-label products (Western Classics, Value Priced, and Good & Kind).  Urban Fare's upscale markets are located in cities in Western Canada, and OFG's wholesale operation supplies nearly 1,800 grocery and convenience stores throughout Alberta, British Columbia , and Saskatchewan. OFG is a division of The Jim Pattison Group, Canada's third-largest private company, which reported total sales of $6.3 billion in 2006.  Approximately 8,853 of OFG’s 15,000 employees are represented by the UFCW.