The Great Atlantic & Pacific Tea Co. announced that it is selling nine supermarkets in northern New England to Ahold's Stop & Shop and Big Y Foods. The company said it expects to make roughly $80 million on the deal, which is part of its efforts to cut costs and improve its bottom line.
If A&P Canada comes on the market, both Sobeys Inc., the country's number two grocery chain, and Metro Inc., the number three grocer, say they would be interested in making a bid for the 239-store company. A bid would likely cost them the equivalent of more than $600 million (US).
If A&P Canada comes on the market, both Sobeys Inc., the country's number two grocery chain, and Metro Inc., the number three grocer, say they would be interested in making a bid for the 239-store company. A bid would likely cost them the equivalent of more than $600 million (US).
- KC's View:
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We hope that A&P is successful at getting its house in order…though we also think that clearly more is called for than simply divesting stores and divisions and cutting costs.
In a Wal-Mart universe, the real challenge continues to be creating a differentiated retailing environment that can appeal to consumers in new and different ways.
Not easy. But necessary for survival.
