Kroger 2Q Profit Rises, Meets Target
Cincinnati, Kroger Co. said today its second-quarter profit 38%, aided by a rebound in Southern California following a costly four-month strike last year. The company said it was seeing “sustained improvement” at its Ralphs and Food 4 Less supermarkets.
For the quarter ended Aug. 13, Kroger reported earnings of $196.5 million, or 27? a share, compared with $142.4 million, or 19? a share, in the prior-year period. Sales rose 6.8% to $13.78 billion from $12.98 billion last year.
The results matched Wall Street’s consensus target of 27? per share.
Walgreens Expands Services With Joint Venture
Deerfield, Ill., Walgreen Co. has formed a joint venture with pharmaceutical services firm Senior Healthcare Partners LLC (known to its customers as SeniorMed Pharmacy) to provide prescription services to assisted-living and other senior communities. Under the agreement, the two companies will form a new business, called SeniorMed, to be led by Stephen Axelrod, who is CEO of Senior Healthcare Partners.
“The new joint venture allows both of us to expand into the fast-growing senior assisted-living pharmacy market,” said Greg Wasson, president, Walgreens Health Services, a division of Walgreen Co.
BJ’s Hires Senior VP
Natick, Mass., BJ’s Wholesale Club, Inc. named Richard Wilson senior VP of general merchandise. He will be responsible for general merchandise category mix including domestics, electronics, giftware, seasonal merchandise, furniture, books, toys and sporting goods. He succeeds Edward Beevers, who will continue as a consultant to BJ’s until he leaves the company at the end of the year. Wilson joined BJ’s Wholesale Club as VP, divisional merchandise manager, in May 2005 from Federated Department Stores’ Macy’s division, where he was senior VP for tabletop, luggage and Macy’s Home Store.