Report: Delhaize considers Market Basket bid
Tewksbury, Mass. – Delhaize Group, parent company of Maine-based supermarket chain Hannaford Bros. Co., is reportedly making a bid for part or all of the embattled Market Basket grocery chain. Market Basket operates 71 stores in Massachusetts, New Hampshire, and Maine, and has been embroiled in a dispute with employees over management since July.
According to the Boston Globe, Delhaize could at most purchase the 50.5% of Market Basket owned by Arthur S. Demoulas, majority shareholder of Market Basket parent company Demoulas Super Markets, and his relatives. In June 2014, Demoulas removed his cousin, former CEO and current Demoulas Super Markets minority shareholder Arthur T. Demoulas, from his CEO post in a financial dispute, although Arthur T. has retained his shares.
Starting July 18, a large number of Market Basket employees have been staging demonstrations and refusing to show up for work, demanding the return of Arthur T. Demoulas as CEO. Arthur T. Demoulas has since offered to buy the company for an unspecified sum and also offered to run the company while negotiations for a purchase take place. With most warehouse workers and drivers refusing to report for duty, Market Basket stores have almost no products on the shelves.
To date, eight management-level employees have been fired. Senior management has threatened to fire any employees who did not go back to their scheduled shifts as of Aug. 4 and has held public job fairs, but there is no definite news of any more employee firings.
The company also is reportedly considering reducing the hours of or even laying off all part-time employees. Market Basket employs roughly 25,000 workers, of whom more than half are part-time. Management of Demoulas Super Markets released a statement about staffing.
“The CEOs have said repeatedly they would welcome back all associates in an effort to return to full operations for the benefit of Market Basket’s customers, associates, vendors and communities,” said the statement. “It is not their wish that anyone be laid off. Toward that end, they have directed store directors to receive deliveries and stock their shelves. Company practice has always been that store directors are responsible for determining appropriate staffing levels in their stores.”
A spokesperson for Hannaford Bros. denied that Delhaize is actively considering a bid.
Office Depot selects Teradata for large data warehouses capabilities
Atlanta — Teradata, the analytic data platforms, marketing applications, and services company, announced that it is working with Office Depot to expand the retailer’s enterprise data warehouse (EDW) with the very latest Teradata platforms and innovation. The new Teradata Active EDW can support the most demanding real-time workloads, with the ability for unlimited concurrent users to run queries against massive data volumes. It automatically bundles memory, solid state drive (SSD)-based flash memory, and traditional disk storage so that users get memory speed combined with depth of analysis.
The new Teradata capabilities will support Office Depot’s growing analytic needs across the company’s more than 2,000 stores, e-commerce sites and dedicated business-to-business sales organization.
Office Depot is also replacing its current test and development environment with a Teradata Data Warehouse Appliance, and is implementing Teradata Database, software that will enable Teradata Intelligent Memory with optimized access to hot and cold data – and temporal, columnar, and advanced compression.
“In today’s environment, business and information are increasingly complex. Detailed data integration services and platforms will continue to be central to facilitating our alignment of shared metrics, processes and operational reporting,” said Todd Hale, CIO at Office Depot. “We expect our Teradata environment and new database capabilities to enhance our analytic insight and business performance at a time when our data volume is growing significantly.”
July sales edge up, even as Costco disappoints; Gap upbeat on Q2
New York — Costco Wholesale Corp. fell slightly short of estimates in July even as most other retailers who still report same-store monthly sales outperformed expectations.
The warehouse club giant reported a 5% rise in same-store sales for July, excluding gasoline, falling short of estimates for a 5.7% increase. The company said foreign currencies had a slightly negative impact. It was the first time in five months that Costco’s sales have increased less than expected. Costco’s total revenue for the month increased 9% to $8.55 billion.
Gap Inc. reported better-than-expected July sales results, and provided an upbeat second-quarter earnings outlook. Same-store sales increased 2%, above analyst expectations of a 0.1% rise. Total sales for the four-weeks ending Aug. 2 rose 5% to $1.17 billion.
L Brands reported a better than expected 6% increase, easily beating estimates for a 1.8% increase. Total revenue rose 6% to $2.68 billion.
In other July results:
• The Buckle said sales edged up 0.5%, slightly better than expected.
• Cato Corporation posted a 4% increase in same-store sales. The chain reported sales of $65.3 million for the four weeks ended August 2, 2014, up 6% from last year.
• Zumiex reported a better-than-expected 3.5% increase in same-store sales.
• Stein Mart posted a 1.3% comparable store sales.