AHOLD, Zaandam, Netherlands, and Velox Retail Holdings, Buenos Aires, Argentina, began a tender offer last week for the remaining common shares and American Depositary Shares of Disco, a 109-store supermarket chain the companies jointly own. The offer will be made through Disco Ahold International Holdings, the companies' 50/50 joint venture company and will end on Dec. 17, an Ahold spokesman said. The holding company will offer the U.S. dollar equivalent -- at the time of payment -- of seven Argentine pesos per common share, a premium of approximately 35% as of last week, the company said.
it completed its merger last week with Dominick's Supermarkets, Northlake, Ill., following completion of its cash tender offer for all of Dominick's common stock. Dominick's will operate as a wholly owned subsidiary of Safeway, and any shares not previously purchased in the tender offer will be converted into the right to receive $49 in cash.
LOCAL 1360 of the United Food and Commercial Workers Union said it has approved a new three-year contract with Laurenti's ShopRite in southern New Jersey, averting a scheduled walkout. The West Berlin, N.J.-based local said it approved the new agreement by a vote of 186-47. The pact calls for hourly wage increases of 50 cents a year in each of the contract's three years, immediate pay-scale advances, with increases retroactive to June, and other benefits.
PROCTER & GAMBLE, Cincinnati, said last week it plans to link the financial rewards of the company and its ad agencies to increased sales growth. In an experiment scheduled to begin globally in January, P&G said it will test alternative compensation systems rather than straight commission on media billings "to reward agencies for the development of holistic marketing ideas and increased sales revenue." The company said the testing will last through the end of the calendar year "or until the [company] has found a model that proves to be the most effective." Each of P&G's seven ad agencies will participate in the experiments for one of the brands they currently manage, the company said.
MARKETING MANAGEMENT INC., Fort Worth Texas, is working with the largest supermarket chain in Costa Rica, Grupo Mas X Menos, in the areas of store brand management and development. MMI, a marketer of store brands, is developing a new logo, new store signage concepts and perimeter department concepts as part of an agreement with Grupo.
