STUDY: SUPERCENTERS, DOLLAR STORES GAIN
aking more trips to supercenters and dollar stores instead of supermarkets, according to the latest "Channel Blurring" study scheduled to be released this week by research firm ACNielsen here. Consumers averaged 73 trips per year to supermarkets last year, down from 75 in 2001 and 83 in 1999, while trips to supercenters increased to 21 per year last year, up from 18 in 2001 and 15 in 1999. The study found that seven of Wal-Mart's fastest-growing product categories are food items, of categories tracked by ACNielsen.
AHOLD COMPLETES DISCO INQUIRY
ZAANDAM, Netherlands -- Ahold here said last week it has completed its investigation into the legality of certain transactions at its Argentine subsidiary, Disco, and found that the transactions will have no material impact on Ahold's financial results. Ahold also said Disco's chief executive officer and chief financial officer, along with two other directors, have resigned. Ahold said it has appointed two new directors and installed a team from the Netherlands at Disco to enforce controls and ensure compliance with company business principles.
KKR LOSES INTEREST IN BRITISH SAFEWAY
NEW YORK -- Kohlberg, Kravis, Roberts & Co. here said last week it will not make an offer for Safeway U.K., the supermarket chain currently pursued as a takeover target by five companies, including Wal-Mart Stores, Bentonville, Ark. A spokesman for KKR told SN: "On Jan. 17, KKR announced that it was considering its position in relation to a potential offer for Safeway. Since then, KKR has undertaken significant due diligence with the cooperation of the company and its advisors. KKR has decided for the time being not to progress its potential offer for Safeway any further, but will continue to monitor the situation and keep its position under review."
FOOD LION TO RENOVATE RALEIGH-DURHAM STORES
SALISBURY, N.C. -- Food Lion here said last week it plans to remodel 54 stores in the Raleigh-Durham area before the end of 2003. The stores will offer enhanced fresh departments; improved checkout and customer service areas; new signage, graphics and decor; and improved lighting. Food Lion also said the stores will be equipped with additional rear docks to receive products.
A&P LAYS OFF 50 IS WORKERS: REPORT
MONTVALE, N.J. -- A&P here reportedly has laid off about 50 workers, mostly from its headquarters-based information services department. An article in the Newark Star-Ledger cited a person familiar with the cuts as its source. An A&P spokeswoman declined to comment either to the Star-Ledger or SN. In October, A&P said it had instituted a hiring freeze and was deferring all pay increases for U.S. non-union employees. Also in October, A&P said it expected to complete its four-year, $250 million overhaul of its supply chain technology, a cornerstone of the company's comeback effort, by the end of the fiscal year that concluded late last month.
