SVU news out
Looks like they sold a bunch of gas stations. Probably good news. Gas stations, while retail, are non-core. Different distribution, different employees, etc.
I did not realize they operated gas stations. I wonder if they own the land on some of these stations, or if these are all leased operations.
They do not say how much they are getting. Hopefully it will allow for a good reduction of debt. Or maybe some store renovations. I'm guessing that SVU opens up tomorrow morning.
GTW
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EDEN PRAIRIE, Minn.--(BUSINESS WIRE)-- SUPERVALU INC. (NYSE: SVU - News) today announced the sale of 107 fuel centers located in the Midwest, Intermountain West and West Coast regions following the acceptance of four separate bids to purchase the centers. The transactions include the majority of fuel centers within the Albertsons, Cub Foods, Hornbacher’s and Jewel-Osco banners.
The transactions, expected to be finalized this fall, will allow SUPERVALU to monetize non-core assets, creating capital that the company can use to further strengthen its business. The transactions also include partnership opportunities that will result in SUPERVALU continuing to have the ability to offer fuel rewards programs to its customers through these existing fuel centers, and in most markets, through an expanded network of fuel centers.
“As we execute on our strategic plan, we are continually reviewing all areas of our business to identify opportunities to strengthen our market position, reduce costs or generate capital that can be reinvested into the business,” said Pete Van Helden, executive vice president, retail operations. “These transactions help us further execute on our transformation plan, while also creating an opportunity for us to partner with major fuel retailers to bring broader fuel rewards programs to our customers.”
Specific transaction details are as follows:
Tesoro will purchase 51 Albertsons fuel centers located in California, Nevada, Oregon, Utah, Washington, Wyoming and Idaho. Couche-Tard/Circle K will purchase 27 Jewel-Osco fuel centers, primarily in the Chicagoland area. Holiday Stationstores will purchase 15 fuel centers – eight from Cub Foods in Minnesota, two from Hornbacher’s in North Dakota and five from Albertsons in Montana. Stinker will purchase 14 Albertsons fuel centers in Southern Idaho |
