Jewel-Osco interested in purchasing more Dominick’s locations
The Chicago Tribune has an article about Jewel’s acquisition and remodeling of four Dominick’s locations, and it discusses the possibility of Jewel buying more of those stores. From the story:
But the legacy Chicago grocer, which leads the market with about 30 percent of shopping dollars, is also looking to expand by acquiring some of Dominick’s 72 stores, including four that it has purchased. “We’re obviously interested,” Emmons said. “It’s still a roll of the dice on who’s going to get what. We’d like to have some of their locations.”
Jewel purchased the four stores Oct. 10, retaining about 450 workers and the Dominick’s banner, for now. Sometime after the holidays the stores will close for a few days, then reopen as full-fledged Jewels, according to executives.
Emmons would not confirm a target number, but sources say Jewel may be looking at as many as 30 locations, including the four it has acquired. Other players such as Kroger are potential bidders, but the lion’s share may go to independent stores, perhaps by banding together through a partner, according to sources. Sources say Safeway has set a Nov. 1 deadline for accepting bids.
He said that unlike Dominick’s, Jewel is operating in the black this year. He plans to expand the bottom line by growing the top line through increased sales.
“It’s a pretty simple formula — do more business and make more money,” Emmons said.