Newswatch 2010-01-11

SOME COLO. SAFEWAY WORKERS INK DEAL

DENVER — Certain bargaining units in Colorado that voted to approve a new union contract with Safeway have signed contracts, but the majority of Safeway's union labor here remained working without a contract last week, a Safeway spokeswoman told SN. According to the spokeswoman, Kris Staaf, 14 of the 60 Safeway bargaining units voted to ratify the “last, best and final” offer from Safeway and have already received ratification bonuses for doing so and are working under terms of the new deal. Safeway, however, is still awaiting word from United Food and Commercial Workers Local 7 as to its next step. Staaf told SN that the retailer would be unwilling to negotiate terms for workers that would differ from the contract approved by some units and by a majority of workers from Kroger's King Soopers chain last month.

H-E-B IMPLEMENTS NEW PRICE CUTS

SAN ANTONIO — H. E. Butt Grocery Co. last week heralded about 5,000 items with lower prices at its H-E-B stores. The lower prices will be focused on store- and national-brand items its shoppers use most, including diapers, hair care, pet food, laundry detergent and paper towels, the company said in a statement. H-E-B will promote the new pricing with signs indicating items “Now Cost Less.” In addition, store employees will serve as “low-price ambassadors” and cashiers will remind shoppers what they saved, the company said. H-E-B also announced it would open 13 new stores in Texas in 2010, and update and remodel more than 60 stores.

DUNNHUMBY ACQUIRES KSS RETAIL

LONDON — International marketing consultancy Dunnhumby here, known for partnering with — and enhancing the loyalty marketing programs used by — Tesco and Kroger, announced that it has acquired price optimization provider KSS Retail, Florham Park, N.J. Terms were not disclosed. KSS Retail, whose food retailing clients include Kroger, Raley's, Associated Food Stores, Brookshire Brothers and Balls Food Stores, provides software that generates optimized prices and forecasts the effects of future pricing and promotional decisions for retailers in the grocery, drug, convenience, online and general retail segments. KSS Retail will operate as an independent business unit of Dunnhumby and maintain its existing management structure.

ORGANIC ASSOCIATION OPENS DC OFFICE

WASHINGTON — The Organic Trade Association, headquartered in Greenfield, Mass., has opened its first Washington, D.C., office, a move the organization said would increase its visibility and effectiveness with legislators. Christine Bushway, OTA's executive director and chief executive officer, will be based in the new office, and the association said it would fill a new legislative and advocacy position in the D.C. office. Issues ranging from food safety and climate change to National Organic Program funding and emerging nonfood standards continue to be critical to the organic sector, said the OTA.