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SCV Albertsons stores to remain open

All four local branches survive chopping block

Posted: September 6, 2012 2:00 a.m.
Updated: September 6, 2012 2:00 a.m.

The Albertsons store in Stevenson Ranch and the three other local stores will remain open. However, 19 other Southern California stores will close this fiscal year.

 

The parent company of Albertsons, Supervalu Inc., announced the closure of 60 stores on Wednesday, pushing shares of its stock up to $2.36 by close of trading Thursday.

The grocery retailer said it was closing underperforming grocers, or stores in non-strategic areas, this fiscal year. None of the four Albertsons stores located in the Santa Clarita Valley are scheduled to be closed, according to Mike Siemienas, spokesman for Supervalu.

Store managers at the Canyon Country, Saugus and two Valencia locations confirmed they will remain open, but said they are not allowed to comment publicly.

Supervalu’s president and CEO, Wayne Sales, said in the company’s press release that it was moving with a “greater sense of urgency to reduce costs and improve shareholder value.”

Of the stores slated to be closed, 27 are Albertsons, 11 others are in the company’s retail food segment and 22 are Save-A-Lot locations — none of which are located in the Santa Clarita Valley. Of the Albertsons stores that will be closed, 19 of the 27 are in Southern California.

“Hopefully the stores in Santa Clarita will continue to perform well,” Siemienas said.

The store closures are expected to generate $35 million in cash within 12 months Supervalu said. The retailer also expects to save $80 million to $90 million over the next three years.

The company owns the real estate for approximately one-third of the retail food stores being closed. Cash generated from these actions will be used to reduce outstanding debt and for other general corporate purposes.

Supervalu, a Minnesota-based company, began as a grocer in 1870 named B.S. Bull and Co. In 1954 it changed its name to Super Valu and had annual sales of $35 billion. It currently reports it has 4,400 stores across the country and 130,000 employees.

The majority of the stores are expected to close before Dec. 1. A complete list of stores closing can be found on The Signal’s website.

jadkins@the-signal.com

661-287-5599

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