Kroger 2Q Profit Up on Sales Growth
Cincinnati Kroger Co. announced Tuesday its second-quarter profit rose 3.4% on strong sales growth.
Net income for the three months ended Aug. 16 was $276.5 million, up from $267.3 million a year earlier.
Kroger reported second-quarter revenue of $18.1 billion, up nearly 12% from $17.6 billion a year ago.
Same-store sales rose 4.7% excluding fuel, and 9.7% including fuel sales for the quarter.
Kroger said Hurricane Ike and its remnants affected Kroger operations in Texas and several inland states particularly Indiana, Kentucky and Ohio. The financial impact of the hurricane will not be significant enough to cause Kroger to alter its strategy, the grocery retailer said.
Walgreens throws hat into Longs buyout ring
DEERFIELD, Ill. Walgreens has proposed to acquire all of the outstanding shares of Longs Drug Stores for $75 per share in cash for a total purchase price of approximately $3 billion including the assumption of debt. The offer, which is subject to standard regulatory approvals and the completion of due diligence, represents a $3.50 per share premium over the cash purchase price to be paid to Longs shareholders under the proposed acquisition by CVS/Caremark announced on Aug. 12.
“We believe the combination of Walgreens and Longs is a highly compelling transaction that is superior to the pending transaction with CVS/Caremark, accelerates Walgreens expansion into high growth markets and delivers meaningful cost synergies,” said Walgreens chairman and ceo Jeffrey Rein.
Walgreens is working with Lubert-Adler Management Company, LP and Klaff Realty, LP to address any potential store sales in connection with the transaction.
Goldman, Sachs & Co. is serving as financial advisor to Walgreens on this transaction, and Weil, Gotshal and Manges LLP is serving as its legal advisor.
Netflix, Amazon to run widgets on Yahoo!
SUNNYVALE, Calif. Yahoo! is allowing companies like Apple and Netflix to add widgets to its pages enabling users to manage their queue of movies from those company without leaving the Yahoo! page they’re on.
According to reports, the changes, which are the first major alterations to Yahoo’s pages in more than two years, will take place over the next few months.