Safeway and Albertsons owner AB Acquisition LLC, controlled by an investor group led by Cerberus Capital Management, completed their proposed merger Friday, the companies announced.
The merger will create a network of 2,230 stores, 27 distribution facilities and 19 manufacturing plants with over 250,000 employees across 34 states and the District of Columbia.
"We plan to be the favorite local supermarket in every community we serve," said Safeway president and CEO Robert Edwards, who becomes president and CEO of the newly combined company, effective immediately, in a statement. "We will do this by knowing, listening to, and delighting our customers; providing the right products at a compelling value; and delivering a superior shopping experience. We will also continue to be active members of our local communities."
Albertsons CEO Bob Miller who will become executive chairman characterized the day as “transformative” for both companies.
"This merger creates a unified, strong organization that is dedicated to bringing a better shopping experience to more customers across the country," said Miller, in a statement. "Our combined geographic footprint, vast range of brands and products, and service-oriented staff will enable us to meet evolving shopping preferences."
Albertsons-Safeway will be comprised of three regions and 14 retail divisions, supported by corporate offices in Boise, Idaho, Pleasanton, Calif., and Phoenix. Banners will include Safeway, Vons, Pavilions, Randalls, Tom Thumb, Carrs, Albertsons, ACME, Jewel-Osco, Lucky, Shaw's, Star Market, Super Saver, United Supermarkets, Market Street and Amigos. In December, the companies announced the sale of 168 stores to four separate buyers, as divestitures required in order to secure U.S. Federal Trade Commission approval of the transaction.
View SN's Albertsons-Safeway merger landing page
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