Latest News: Technology |  Celebrity |  Movies |  Apple |  Cars |  Business |  Sports |  TV Shows |  Geek

Trending

Filed under: News | Misc

 

Safeway to be sold off for $9 billion

The 2nd largest grocery chain of the country will be purchased by Cerberus Capital Management

1 Updates
Safeway to be sold off for $9 billion
 
 

YouTube Videos Comments

Full Story

Safeway to be sold off for $9 billion

The private equity firm, Cerberus Capital Management, which also happens to be the owner of the Albertsons and several other supermarket chains is now going to purchase the Safeway for $9 billion. The country's second largest grocery chain is not facing a good time at all and while it is being sold off under a deal of $9 billion, it is also going to be paying some damages which mount to $2,250,000 and are a result of false advertising. All this is happening in the mid of supermarket consolidation taking place all due to the intense competition being faced by this industry. The growth of big-box retailers, specialty chains, drug stores and even dollar stores in the country have given a tough time to the grocery chains.

The merger is greatly going to benefit the customers. The chain at the moment has stores in 17 different states and now the stores will be expanded into 28 states altogether. The company has given away no information on the existing stores and they havent said whether any of the stores would be closing down. At a Safeway conference, the company stated that "After the two companies combine, our customers will benefit from significant cost-saving synergies and a stronger management team." We are hearing from industry analysts that Safeway is more or less going to follow the strategic position of Trader Joe's and would become a neighbor store.

"If it's a good Cerberus and they want to run a grocery chain, good for them, they purchased a good company. If they are going to have a fire sale and close a bunch of stores, we are not going to allow that to happen," said Mike Henneberry from United Food & Commercial Workers Local 5.

source: abclocal

 

iPad Air Giveaway. Win a free iPad Air.

You Might Also Like

Updates


Sponsored Update


Advertisement


More From the Web

Shopping Deals

 
 
 

<a href="/latest_stories/all/all/32" rel="author">Ahmed Humayun</a>
Ahmed Humayun is a technology journalist bringing you the hottest tech stories of the day.

 

 

Comments

blog comments powered by Disqus

Latest stories

Windows 9 Set to be Divulged on September 30th
Windows 9 Set to be Divulged on September 30th
Microsoft Announces The Event "Threshold" Will Take Place.
 
 
Linda Cohn Files Lawsuit Against New York Ice Rink
Linda Cohn Files Lawsuit Against New York Ice Rink
ESPN broadcaster Linda Cohn is filing a lawsuit against a New York ice rink after a group of kids pushed a heavy coin machine which allegedly fell on her, resulting in a huge gash that required 25 stitches.
 
 
Nick Cannon Admits He and Wife Mariah Carey are Separated
 
 
JaMarcus Russell Does Dish Network Commercial
JaMarcus Russell Does Dish Network Commercial
Former NFL first overall pick JaMarcus Russell did a commercial for Dish Network along with Matt Leinart, Brian Bosworth and Heath Shuler which was released on Aug. 19.
 
 
 

About the Geek Mind

The “geek mind” is concerned with more than just the latest iPhone rumors, or which company will win the gaming console wars. I4U is concerned with more than just the latest photo shoot or other celebrity gossip.

The “geek mind” is concerned with life, in all its different forms and facets. The geek mind wants to know about societal and financial issues, both abroad and at home. If a Fortune 500 decides to raise their minimum wage, or any high priority news, the geek mind wants to know. The geek mind wants to know the top teams in the National Football League, or who’s likely to win the NBA Finals this coming year. The geek mind wants to know who the hottest new models are, or whether the newest blockbuster movie is worth seeing. The geek mind wants to know. The geek mind wants—needs—knowledge.

Read more about The Geek Mind.