Safeway exiting Chicago area market

Sells 11 of its Dominick's stores, more sales coming

Pleasanton-based Safeway Inc. announced Monday it has reached a definitive agreement to sell 11 of its Dominick's stores in the Chicago metropolitan area in a cash and lease assumption transaction to Roundy's, Inc.

Roundy's will take possession of the stores during a transition period that will take place over the next two months. The transaction is subject to customary closing conditions.

A total of 11 Dominick's stores in Chicago and suburbs are involved in this transaction.

Earlier this year, Safeway announced its decision to exit the Chicago market and focus its efforts in other operating areas where its business is stronger.

A Safeway spokeswoman said the company continues to be actively engaged in a process to identify purchasers for its remaining stores in the Chicago market and will make announcements when pending deals are finalized.

Safeway previously announced the sale of four stores in the greater Chicago area to New Albertsons, Inc., which operates Jewel-Osco grocery stores.


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Posted by the chicago way
a resident of Birdland
on Dec 3, 2013 at 8:29 am

Chicago will soon go the way of Detroit. Looks like obamas hometown has one less major business while it's on it's way to being the murder capital of the U.S. Safeway is smart to get out before things get worse.

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Posted by also
a resident of Amador Estates
on Dec 3, 2013 at 8:52 am

I wouldn't be surprised if Obama tries to nationalize grocery stores, as well. Spread the food around "to be more fair." In other words, ration food. Democrats will get more. Republicans will get crumbs. This is what "good, 3rd world, despotic dictators do," you know.

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Posted by Martin W.
a resident of Country Fair
on Dec 3, 2013 at 9:26 am

But I thought that if you LIKED your grocery store, you could KEEP your grocery store? I'm sensing a new Federal "Grocery Store Retention Program" coming to Illinois sometime soon.

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Posted by Julia
a resident of another community
on Dec 3, 2013 at 10:30 am

i totally agree with posted comments by The Chicago Way, Also and Martin W.

Go Safeway, you are expressing super intelligence. I am sure the demographics have a lot to do with the closing. And I am also sure the "Knock Out Game' is causing some concerns.

America "We The People" better wake up and soon...

The moment Obama and his cronies took over, America started down her slippy slope...

Obama is NOT Presidential Quality...

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Posted by Former Dominicks shopper
a resident of Another Pleasanton neighborhood
on Dec 3, 2013 at 2:30 pm


Leave it to the uninformed to make stupid comments about Obama and Detroit.

Dominick's was already struggling in the Chicago market when Safeway bought them. Then Trader Joe's and Whole Foods moved in, and Dominick's became even less competitive - the price conscious went to TJ's, the prestige buyers went to Whole Foods. It has nothing to do with Obama, murder rates (seriously? Where do you people come up with this idiocy?) or anything related. It's business, pure and simple - Safeway took a gamble, and it didn't pay off.

It didn't help that Safeway dumped about 80% of the brands on Dominick's shelves for their own house brand, either. I know a lot of brand-loyal people who stopped shopping there once they did that. So...not a smart move.

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Posted by Logical Capital
a resident of Another Pleasanton neighborhood
on Dec 3, 2013 at 3:16 pm

If Safeway was smart, this is what it would do.

1): Bust up the unions, all of 'em.

2): Cut salaries/wages down to minimum wage and eliminate pensions.

3): Rake in more profit and dole it out to CEO and other managers.

4): Cut back on or eliminate worker health and safety conditions.

5): Remove all paid vacation time for employees (except management).

6): Raise a glass of champagne, as taxpayers will now have to pay the social welfare bill for the company's once-unionized workers.

7): Revel in the idea that there is now no union left to fight bad wages, the elimination of pension plans, and bad safety and health conditions.

Hurrah! The company will be able to exploit its workforce the way it desires. And who's left to fight on the workers' behalf? Oh, one or two activist-agitators? Fire 'em on the spot. It's not as if the now nonunionized workers will have any grievance mechanisms available to them.

There's no reason why only the Walton (Walmart) heirs should have $160 billion a piece. All those who own and control should possess similar amounts. Let the tax payers pick up the tab.

And what about those poor sap workers who are now making minimum wage or less? How will they be able to afford to purchase the products (necessities) they once did? Let 'em sell the family home and work a second or third job. And, hey, if the economy tanks because workers can't afford American products (necessities) well, heck, there are always new markets elsewhere to exploit.

It's all perfectly logical - the logic of capital. That's the beauty of it. And workers? Too bad for you, suckers!

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Posted by Mittens
a resident of Another Pleasanton neighborhood
on Dec 3, 2013 at 9:07 pm

Logical capital, your post makes so much sense, I'm not sure why no one else thought of it previously. You're so smart and while some might take your comments as verbal diarrhea, those of us who troll hufpo and the daily kos know better. Keep up the subpar work.

Like this comment
Posted by Logical Capital
a resident of Another Pleasanton neighborhood
on Dec 3, 2013 at 10:05 pm

I'm always heartened when my readers formulate such well thought out and coherent validity claims that support my own.

BTW, I take no personal credit for articulating the logic of capital. Others have known and written about this for at least the past 165 years.

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