SALT LAKE CITY -- American Stores Co. here said last week it is on target with its Delta re-engineering project to have benefits exceed costs in the second half of 1997.
Feb. 1. The charges are not expected to change 1997 earnings predictions.
The charges were triggered primarily by four events, the company said:
Consolidation of four general merchandise warehouses into a single facility in southern California. (See related story, Page 69.)
The switch to a common warehouse inventory valuation method resulting from the warehouse consolidation program.
Consolidation of administrative offices here.
Consolidation of 11 stores in southern California into the Lucky Stores/Sav-on network, resulting in the closure of five existing Lucky units and two Sav-on drug stores.
The Delta program, was designed to transform American Stores from a holding company to a unified operating company.