Newswatch 2009-08-31

SAFEWAY OPENS 2ND ‘MARKET’ STORE

PLEASANTON, Calif. — Safeway here last week opened its second small-format store in downtown San Jose, in Northern California. At 22,300 square feet, the store is almost twice as large as the 12,000-square-foot store Safeway opened in Long Beach, in Southern California, in May 2008. The San Jose store operates under the banner, “The Market, Safeway,” company officials told SN in January. It is in a new location — in contrast with the remodeled Vons location for the first store — and is situated on the ground floor of a 22-store condominium. Local reports said the store offers ready-to-eat meals in addition to a full grocery offering.

WEIS CONVERTS 11 ACQUIRED GIANTS

SUNBURY, Pa. — Weis Markets here last week completed the acquisition of 11 Giant Markets locations in the Binghamton, N.Y., area, and converted them to the Weis banner. All 11 stores were closed for one day as the company switched signs and installed new point-of-sale systems. Five of the locations were switched to a 24-hour schedule. “For more than 70 years, Giant Markets has excelled at being a locally focused retailer,” said Jonathan Weis, Weis Markets' vice chairman. “We will build on these strengths.” The stores are not affiliated with the two Giant chains operated by Ahold.

DOLLAR TREE REPORTS GAINS IN Q2

CHESAPEAKE, Va. — Dollar Tree here last week posted a 51% gain in net income for the second fiscal quarter, citing the attraction of its value offerings and a 7.3% increase in operating margins. The company, which operates 3,717 stores in 48 states, said net income for the quarter was $56.9 million, vs. $37.6 million in the year-ago second quarter. In the period, which ended Aug. 1, the dollar chain posted comparable-store sales gains of 6.8%, and overall sales gains of 11.9%, to nearly $1.1 billion. It added 50 net new stores in the quarter.

ORC BILLS SET FOR HOUSE HEARING

WASHINGTON — Two House bills addressing organized retail crime have been scheduled for a hearing this fall in the Judiciary Committee, according to the Coalition Against Organized Retail Crime. The hearing will consider the E-fencing Enforcement Act of 2009 (HR 1166), introduced by Rep. Robert C. Scott, D-Va., earlier this year. The Organized Retail Crime Act of 2009 (HR 1173), introduced by Rep. Brad Ellsworth, D-Ind., will also be addressed at the fall hearing. The E-fencing Enforcement Act would impose duties on online marketplaces when there is good reason to believe that items listed for sale were acquired unlawfully. The Organized Retail Crime Act modifies the federal criminal code to include ORC activities, and makes the facilitation of ORC a crime. The legislation also imposes reporting requirements on the operators of online marketplaces and sellers when goods are suspected of having been acquired through ORC.

ROUNDY'S PLANS NEW NAME IN ILLINOIS

ARLINGTON HEIGHTS, Ill. — Roundy's Supermarkets is planning a 68,000-square-foot store here that will operate under a new name, according to local reports. The Milwaukee-based company had previously disclosed plans to open in the Chicago area, and earlier this year reports said the company had located two sites in Chicago. It currently operates about 152 stores under the Pic 'n Save and Rainbow banners. The company could not be reached for comment last week.