JACKSONVILLE, Fla. — About 80% of the major store renovations planned by Winn-Dixie Stores this fiscal year are considered “offensive” — reflecting a slowdown in competitive activity in Florida and setting the stage for topline growth in fiscal 2009, the retailer said at an investor conference here. In a presentation, Winn-Dixie detailed plans to remodel 75 stores at an average cost of $1.9 million per store during the fiscal year, which began in late June. Approximately 41 of the next 51 remodels would be “offensive” — or in areas facing no new competitive openings during the year. Offensive remodels tend to generate sales increases of 15% vs. 11% for defensive remodels, which primarily defend against sales loss in the face of new competitors opening stores. According to Karen Short, an analyst at Friedman Billings Ramsey, New York, Winn-Dixie officials said competitive openings are projected to decline during the year, and the retailer is not engaging in price wars with competitors.
Read More of Today's Headlines