Ahold-owned Giant Food Stores of Carlisle, Pennsylvania, said yesterday that it will acquire 16 Genuardi’s stores in the Philadelphia region from Safeway, for $106 million. The purchase is expected to close during the first half of 2012, and will result in the Genuardi’s stores being converted to the Giant banner.
“Giant is always looking for convenient locations to better serve our customers,” Rick Herring, Giant’s president, said in a prepared statement. “We are very excited to have the opportunity to expand our presence in greater Philadelphia and serve new customers. We look forward to providing customers with the quality, selection, and savings that they have come to expect from Giant.”
Safeway acquired Genuardi's in 2001, but there has been much speculation that the company was looking for a way out.
"We have made the decision to exit the greater Philadelphia market, including four stores in New Jersey, and focus our resources in those operating areas where we have a stronger presence," said Steve Neibergall, president of Safeway's Eastern Division.
“Giant is always looking for convenient locations to better serve our customers,” Rick Herring, Giant’s president, said in a prepared statement. “We are very excited to have the opportunity to expand our presence in greater Philadelphia and serve new customers. We look forward to providing customers with the quality, selection, and savings that they have come to expect from Giant.”
Safeway acquired Genuardi's in 2001, but there has been much speculation that the company was looking for a way out.
"We have made the decision to exit the greater Philadelphia market, including four stores in New Jersey, and focus our resources in those operating areas where we have a stronger presence," said Steve Neibergall, president of Safeway's Eastern Division.
- KC's View:
- Hard to argue with anyone’s rationale here, and hard to think that eventually the rest of Genuardi’s will be sold off by Safeway and the brand name will become just a memory.
