Arrow Posted June 13, 2013 Share Posted June 13, 2013 For anyone that cares: Sobeys to buy Safeway Canada for $5.8 billion Empire Co. Ltd. (TSX:EMP.A), the Nova Scotia-based parent of the Sobeys chain, said the cash deal will give it $1.8 billion of real estate. The transaction to buy Canada Safeway Ltd., which has 213 stores, will be completed through Empire's wholly-owned Sobeys Inc. subsidiary. Included in the transaction are 199 in-store pharmacies and 62 gas stations on the Safeway properties. Empire Co. will also own 10 liquor stores, four distribution centres and 12 manufacturing facilities as part of the deal. Empire said it expects to find cost synergies of about $200 million over three years by integrating the distribution, information technology and procurement divisions of both grocers. The company also said it will cut its administrative and marketing costs by combining management teams, but would not comment on whether layoffs are expected. "We have a need for great, talented people," said Sobey. "There's a great cultural fit in regards to the employee basis between the two organizations." Marc Poulin, president and chief executive of Sobeys Inc., said the company is not sure whether it will be re-branding the Safeway stores. "It's too early to tell, obviously, at this stage," said Poulin. "We just completed the acquisition. We will do proper marketing and research to determine what will be the course on the bannering side." Sobeys owns or franchises more than 1,300 stores across Canada under several banners that include Sobeys, IGA, Foodland, FreshCo, and Thrifty Foods. The company noted the acquisition positions it to compete more effectively within the changing and increasingly competitive grocery retail landscape in Canada. Read more: http://www.ctvnews.c...6#ixzz2W7f2Zt26 Link to comment Share on other sites More sharing options...
Aladeen Posted June 13, 2013 Share Posted June 13, 2013 Wow talk about a growing Monopoly on Canada's food distribution... that's crazy! Link to comment Share on other sites More sharing options...
Miss Korea Bob.Loblaw Posted June 13, 2013 Share Posted June 13, 2013 The Atlantic Superstore was much better than Sobeys. Same here with Great Canadian. Link to comment Share on other sites More sharing options...
MJDDawg Posted June 13, 2013 Share Posted June 13, 2013 Damn. I still remember the old style stores with the large arching roofs and liquor stores attached to them. I've grown up with Safeway all my life and always found it weird when I travelled back East how nobody had ever heard of them. Progress I guess. Link to comment Share on other sites More sharing options...
TOMapleLaughs Posted June 13, 2013 Share Posted June 13, 2013 Don't have a problem with this move. Was originally thinking Safeway workers will be screwed, but both Safeway and Sobeys employees are unionized? Business as usual for now. Link to comment Share on other sites More sharing options...
aGENT Posted June 13, 2013 Share Posted June 13, 2013 Meh don't really shop at Safeway more than occasionally anyway... Link to comment Share on other sites More sharing options...
Dogbyte Posted June 13, 2013 Share Posted June 13, 2013 Weird, not a big Sobey's fan, but I've only been in one in my entire life. Link to comment Share on other sites More sharing options...
TheTruthHurts Posted June 13, 2013 Share Posted June 13, 2013 Good news, hopefully Safeway will have Sobey's prices now. Link to comment Share on other sites More sharing options...
hsedin33 Posted June 13, 2013 Share Posted June 13, 2013 Safeway has to be the biggest rip off I've ever seen. Their prices are comparable to airport food prices, I never shop there. Link to comment Share on other sites More sharing options...
c00kies Posted June 13, 2013 Share Posted June 13, 2013 So what happens to Safeway memberships? Those discounts were all that made Safeway worth it. The only reason we shop there is because it's 5 minutes away from our house. Link to comment Share on other sites More sharing options...
-DLC- Posted June 13, 2013 Share Posted June 13, 2013 I do all my shopping at Safeway - have for years. It's right up the street from me and the employees are more like friends. Would be sad it they got laid off. I love being able to whip up to the store and know exactly where everything is without having to search the aisles. I also do like some of their "Select" products (the tomato basil soup comes immediately to mind). It's slightly over priced, but feels like home. Hate change. Link to comment Share on other sites More sharing options...
Gustavo Fring Posted June 14, 2013 Share Posted June 14, 2013 I do all my shopping at Safeway - have for years. It's right up the street from me and the employees are more like friends. Would be sad it they got laid off. I love being able to whip up to the store and know exactly where everything is without having to search the aisles. I also do like some of their "Select" products (the tomato basil soup comes immediately to mind). It's slightly over priced, but feels like home. Hate change. Link to comment Share on other sites More sharing options...
Common sense Posted June 14, 2013 Share Posted June 14, 2013 Safeway has a much bigger brand presence here in BC and Alberta than Sobeys. I can't imagine for the life of me why a company would want to mess with that. Link to comment Share on other sites More sharing options...
LostViking Posted June 14, 2013 Share Posted June 14, 2013 Great news for me. My work does business with both companies, and collecting money from Safeway stores is like pulling teeth, Sobey's has some odd hoops you need to jump through to make their national accounting office happy, but they at least pay their bills. Link to comment Share on other sites More sharing options...
Grapefruits Posted June 14, 2013 Share Posted June 14, 2013 I do a lot of my shopping at Safeway. Sure the prices can be a little higher, but if you shop the sales and use the Safeway card, there isn't a huge difference. I find it worth the cost not to have to deal with the 'Wal-Mart" type shoppers. Hopefully Sobeys won’t mess with that. Link to comment Share on other sites More sharing options...
c00kies Posted June 14, 2013 Share Posted June 14, 2013 I do all my shopping at Safeway - have for years. It's right up the street from me and the employees are more like friends. Would be sad it they got laid off. I love being able to whip up to the store and know exactly where everything is without having to search the aisles. I also do like some of their "Select" products (the tomato basil soup comes immediately to mind). It's slightly over priced, but feels like home. Hate change. Link to comment Share on other sites More sharing options...
SkeeterHansen Posted June 14, 2013 Share Posted June 14, 2013 Always shop at Safeway. Bakery and deli are just unmatched, compared to Save-On-Foods and Superstore... I also like the Black Cherry Safeway brand soda. Link to comment Share on other sites More sharing options...
MikeyBoy44 Posted June 14, 2013 Share Posted June 14, 2013 As long as they don't get rid of the croissant donuts I'm fine. Link to comment Share on other sites More sharing options...
CALGARY! Posted June 14, 2013 Share Posted June 14, 2013 This kinda took me by surprise, I always thought Safeway would be the richer of the two corporations. From coast to coast I always see a lot more Safeways the Sobeys. Link to comment Share on other sites More sharing options...
Guest Posted June 14, 2013 Share Posted June 14, 2013 Safeway has a much bigger brand presence here in BC and Alberta than Sobeys. I can't imagine for the life of me why a company would want to mess with that. Link to comment Share on other sites More sharing options...
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