Ahold to sell more US stores
BI-LO and Bruno’s on the market
February 12 2004
Dutch supermarket giant is looking for buyers for two of its US supermarket chains, BI-LO and Bruno’s.
The move puts almost 400 stores on the market and follows Ahold’s decision to put more than 200 US convenience stores up for sale last month.
Ahold said the latest sale is part of its strategy to optimise its portfolio and strengthen its finances by reducing debt, The business is struggling to recover from the accounting scandal which emerged last year.
The sale of BI-LO and Bruno’s, both based in the south east of the US, would leave Ahold with the Stop & Shop, Giant-Landover, Giant-Carlisle, and Tops supermarket chains in the US, along with home delivery operation Peapod.
[img r]bilo2.jpg[/img]Anders Moberg, Ahold president & CEO said: “We believe that BI-LO and Bruno’s are both powerful brands and will have a bright future under new ownership.
“We hope to identify buyers whose strategic priorities include further strengthening these businesses to succeed in a competitive but fast-growing marketplace.”
BI-LO, based in South Carolina, operates 292 stores. Its 2003 sales were $3,197m. Bruno’s, with sales of $775m, is based in Alabama and operates 178 stores. Ahold plans to complete the sales this year.
