Newswatch 2010-08-02 (2)

DELHAIZE BANNERS LAUNCH CONTEST

SALISBURY, N.C. — A new contest promotion under way at Delhaize America's banners can win customers up to $250,000, the retailer here said last week. The Great Grocery Giveaway will award more than $5 million to around 3 million customers through scratch-off cards distributed for qualifying purchases. Prizes range from $1 to $250,000 per card. All of Delhaize's U.S. banners are participating in the event, which will continue until all cards are distributed.

UNION SEEKS VOTE AT MARSH STORE

INDIANAPOLIS — A union seeking representation at a store operated by Marsh Supermarkets has called on the retailer to agree to “free and fair” election guidelines. United Food and Commercial Workers Local 700 here last month filed unfair labor practice charges against Marsh. It is seeking a union election at Marsh's store in Beech Grove, Ind. It said a majority of employees support a union. “We are committed to a free, democratic election process, governed by federal law, which ensures that employees receive accurate information as they decide how to cast their ballots,” Dave Redden, senior vice president of human resources for Marsh Supermarkets, said in a statement. “We fully respect those laws and expect no less of other parties. We support our employees' right to vote in a secret ballot election, and look forward to their continued support.”

CASEY'S REJECTS COUCHE-TARD AGAIN

ANKENY, Iowa — The board of directors of Casey's General Stores here last week again asked its shareholders to reject a revised takeover offer from Canadian counterpart Alimentation Couche-Tard, and instead announced a plan to buy back $500 million of its own stock at a higher price per share. The recapitalization would be executed through a “Dutch auction” self-tender offer at share prices between $38 and $40 per share, Casey's said. Couche-Tard's latest tender offer is for $36.75 per share for the entire company. In a statement, Alain Bouchard, president and chief executive officer of Couche-Tard, said, “We are disappointed that the Casey's board of directors has rejected our increased $36.75 cash offer and has initiated a recapitalization for only 25% of the shares without even sitting down to talk to us.”

99 CENTS ONLY SUED OVER INCREASE

LOS ANGELES — Two lawsuits have been filed in Los Angeles County Superior Court against 99 Cents Only Stores alleging that the chain's move two years ago to raise its top price to 99.99 cents constituted an unfair and deceptive business practice. A judge will decide whether to certify the complaints as class actions, local reports said last week. An attorney for the plaintiff was quoted as saying a survey of customers was “just about unanimous” that no one realized they were paying more than 99 cents. The reports quoted Eric Schiffer, chief executive officer of 99 Cents Only, as saying the company has made every possible effort to inform consumers about the increase, including store signage, window posters, and radio and print ads.

SUPERVALU TO SUPPLY LA. ALBERTSONS

BOISE, Idaho — Albertsons LLC here will shift sourcing for its 17 stores in southern Louisiana to a Supervalu distribution center in Indianola, Miss., from the Fort Worth, Texas, division of Associated Wholesale Grocers, the company said last week. The changeover is scheduled to begin in September. However, it said AWG will continue to supply the chain's 77 Texas stores and a single unit in Arkansas.