In a massive move that will change the shopping landscape in SoCal, a Pacific Northwest grocery chain has agreed to purchase Albertsons and Safeway stores throughout California and four other states, transforming them to its brand.
Haggen, Inc., a chain with a modest 18 stores in Washington and Oregon, is set to acquire 146 stores in the estimated $7.6 billion-deal along with the inventory, equipment and likely all of Albertsons and Safeway’s workforce from the divested stores.
Glendora is home to two Vons stores and one Albertsons, but those will reportedly be spared from the Haggen, Inc. acquisition.
In March of 2014, Albertsons and Safeway, which operates stores under its name as well as Vons and Pavilions, agreed to the multi-million dollar deal. In order to adhere to federal antitrust rules, the two companies agreed to divest a certain number of stores in order to clear the deal with the Federal Trade Commission.
Click here for a map of divested locations.
“Our Glendora stores are not being divested to Haggen as part of the FTC’s process to obtain antitrust clearance for the Albertsons/Safeway transaction. Our Glendora stores, and other go forward locations, will remain open and focused on serving our customers,” said Carlos Illingworth, director of public affairs for Vons.
Christine Wilcox, vice president of communications with Albertsons, also said that all Alberstons stores not part of the acquisition will move forward with the deal from March.
Approximately 83 stores in California will be affected.
Haggen, Inc. plans to change all of the acquired stores to the chain’s name in phases during the first half of 2015, said Haggen representatives.
“All Albertsons LLC and Safeway store employees will have the opportunity to become employees of Haggen as their individual stores are transitioned to the Haggen banner. Haggen plans to retain the current store management teams,” according to Haggen officials in a written statement.
“The stores are well run and very successful, thanks to the dedicated store teams,” said John Clougher, Haggen CEO, Pacific Northwest. “We want to retain these existing teams while allowing our growing company to build on their past successes.
Based in Bellingham, Washington, Haggen, Inc. was founded in 1933 and claims to have supported farms, ranches, fisheries and other businesses in Washington and Oregon to create a lasting and sustainable local food economy, according to their website.