OAK BROOK, Ill. -- Dominick's here will shutter some unprofitable locations and bring back some local brands that parent company Safeway, Pleasanton, Calif., had removed from shelves, according to local reports last week.
l Workers. The failure of Safeway to reach a new contract with the UFCW locals last year led the company to put Dominick's up for sale, although last month Safeway said it had decided to keep the chain.
Talks with the two locals are expected to resume in the next few weeks.
According to the reports, as many as 23 of the Dominick's 113 stores could be closed. "We want to close a few that are simply dragging down our bottom line," Onstead was quoted as saying.
Officials at Dominick's could not be reached for comment last week.
In terms of merchandising, Onstead told reporters he would seek to bring back locally sourced products, more local brands and expand variety to appear to local ethnic groups. Safeway had been criticized for replacing local brands with items from its Safeway Select private-label line since acquiring Dominick's in 1999.