Roundy's Installs New System After Overcharges
ers is unacceptable at any store," Roundy's Supermarkets here said it would implement a new pricing system designed to prevent the kind of "human error" it said was responsible for recent overcharging violations. Roundy's last week agreed to pay more than $44,500 to settle charges by the Wisconsin Department of Agriculture, Trade and Consumer Protection that showed overcharge violations in some Pick 'n Save stores operated by Roundy's, reports said. The retailer said the errors involved expired sale tags that were not removed from shelves. The new pricing system will be in place in all Roundy's stores by Feb. 26.
'Fair Share' Bills Defeated in Wisconsin, Indiana
BENTONVILLE, Ark. - Wal-Mart Stores here applauded state officials in Wisconsin and Indiana for defeating proposed legislation that would require large employers to devote a specific percentage of their payroll toward employee health care. The labor union-supported bill failed to make it out of the Wisconsin State Assembly and was defeated in the Indiana House of Representatives last week. Similar legislation was approved earlier this month in Maryland, when the General Assembly voted to override a gubernatorial veto.
Kuhn's Buys Two Pittsburgh Shop 'n Saves
PITTSBURGH - Kuhn's Quality Foods, a six-store independent chain based here, has acquired two Shop 'n Save stores in this market from Minneapolis-based Supervalu, according to reports. The purchase price was not disclosed. Supervalu previously said it planned to sell its 20 Shop 'n Save stores in the market to existing Supervalu customers. Kuhn's plans to close the stores next week and reopen them the following day as Kuhn's, the reports said. A spokesman for Kuhn's was not available.
Ingles Faces Possible SEC Action for Accounting
ASHEVILLE, N.C. - Ingles Markets here said it has received a Wells Notice from the staff of the Securities and Exchange Commission indicating that the staff intends to recommend that the SEC "bring a civil enforcement action against the company" for accounting issues related to vendor contracts from 2002 and 2003. The SEC could seek to levy a fine against Ingles, the company said. Ingles previously had disclosed that the SEC was investigating the accounting issues, and last year it restated its earnings for 2002, 2003 and part of 2004 to reflect adjustments for improperly recorded vendor allowances.
Coughlin Wins Dismissal of Wal-Mart's Lawsuit
BENTONVILLE, Ark. - A judge in Wal-Mart Stores' suit against its former vice chairman threw the case out of court last week, saying the retailer waived its right to sue Tom Coughlin as part of his retirement agreement. However, reports said Wal-Mart would appeal the dismissal. Wal-Mart has said Coughlin illegally appropriated thousands of dollars in company funds for his personal use, and sought to revoke his retirement agreement, reportedly worth $12 million to $15 million. Coughlin resigned late in 2004.
Creditor in Winn-Dixie Case Exits Committee
JACKSONVILLE, Fla. - R2 Investments, the Texas-based distressed-debt investor and holder of $100 million in Winn-Dixie bonds, has exited the official committee of creditors in the retailer's bankruptcy case, Michael Frietag, a Winn-Dixie spokesman, told SN. He said the exit was precipitated by the departure from R2 of its designated employee to the committee. R2 was Winn-Dixie's largest bondholder, saying last year it held around $100 million of the company's $300 million in bank debt. Representatives of the official committee of creditors and R2 were not available for comment.