NEWS WATCH

SUPERVALU, Minneapolis, said last week it supports the decision by ShopKo Stores, Green Bay, Wis., and Phar-Mor, Youngstown, Ohio, to terminate their merger agreement. The termination means Supervalu will be unable to sell 90% of its 14.7 million ShopKo shares to a holding company formed for the merger. That stake is equivalent to 46% of ShopKo's equity.ich has failed repeatedly in its attempts over

SUPERVALU, Minneapolis, said last week it supports the decision by ShopKo Stores, Green Bay, Wis., and Phar-Mor, Youngstown, Ohio, to terminate their merger agreement. The termination means Supervalu will be unable to sell 90% of its 14.7 million ShopKo shares to a holding company formed for the merger. That stake is equivalent to 46% of ShopKo's equity.

ich has failed repeatedly in its attempts over the years to organize various parts of our company."

CATALINA MARKETING CORP., St. Petersburg, Fla., announced last week it would discontinue offering electronic coupon clearing services and immediately close its Catalina Electronic Clearing Services operation.

WABAN, based in Natick, Mass., last week pulled out of a deal to sell its Homebase home-improvement chain to Leonard Green & Partners, a buyout firm.

PEAPOD, the Evanston, Ill.-based on-line grocery shopping and home-delivery service, last week filed a registration statement with the Securities and Exchange Commission for an initial public offering.

STRAWBERRY GROWERS in California say they are losing sales after a hepatitis scare in Michigan schools was traced to a batch of frozen strawberries last week.

McDONALD'S CORP., Oak Brook, Ill., began selling breakfast sandwiches for 55 cents last Friday in a previously announced effort to boost sales.