Food Retailers Go Organic! for Earth Day
Minneapolis, Ahold, Supervalu, Kroger, Food Lion, Publix, Meijer, Roundy’s and Wakefern have joined over 3,500 grocery retailers for the Go Organic! for Earth Day Campaign this April. The initiative is a project of the Organic Trade Association, Earth Day Network and MusicMatters.
The Go Organic! for Earth Day campaign includes Earth Day events, special promotions, organic product sampling and free money-saving coupons available at participating retailers throughout April.
Ahold 4Q Net More Than Doubles
Netherlands, Dutch retailer Ahold NV beat market forecasts on Thursday as it more than doubled fourth-quarter net profit and said it would buy back more shares, suggesting it expects a good price for a U.S. unit. Profit rose to 240 million euros ($319 million) from 108 million euros a year ago.
Ahold said it planned to increase its share buyback to 3 billion euros from 2 billion, raising hopes it will get a higher-than-expected price for its catering-supplies unit, U.S. Foodservice, which it put up for sale last November. Asked whether the higher buyback was linked to optimism about the U.S. Foodservice sale, CFO John Rishton said: “Clearly we have more information than we had.”
He said the sale process was progressing well but declined to provide more details.
Ahold is selling U.S. Foodservice, which sources say has attracted bids from several private equity groups and could receive more than $6 billion.
IKEA Plans Midwestern DC
Conshohocken, Pa., IKEA said it plans to open an approximately 1.4 million-sq.-ft. distribution center on 72 acres at the Laraway Crossings Business Park in Joliet, Ill., south of Chicago. The new center will allow IKEA to receive goods in Joliet by rail, to manage its inventory and to distribute product to stores throughout North America, with a focus on IKEA stores in the Midwest.
The project will consist of a 650,000 sq.-ft. facility to be operational as early as spring 2009. The plans also allow for a potential expansion of approximately 770,000 more sq. ft. should the storage capacity be necessary.