SALT LAKE CITY — Associated Food Stores here recorded a loss of $6.5 million for the fiscal year that ended March 26, according to published reports — a situation the cooperative attributed primarily to the performance of 34 Albertsons stores it acquired in late 2009.
Of the $6.5 million loss, the report in the Salt Lake Tribune said the company attributed $2.2 million to closures of seven stores: five units of Fresh Market, which is the new banner on the former Albertsons locations, and two other corporate stores, which closed due to increased competition from nearby Fresh Markets.
Rich Parkinson, president and chief executive officer, reportedly told the company's annual meeting that better times are ahead for Associated, and Neil Berube, president of the Fresh Market division, said the stores are showing positive gains in weekly sales and customer counts.
The company attributed the losses to its inability to use the Albertsons name, which made it difficult to retain long-term customers, and to the fact that Associated did little advertising when the store ownership changed; that store grand openings were staggered, adding to customer confusion; and that some stores were offering new product lines before the new signage was up.
