Supervalu off to ‘solid’ start for Q1
MINNEAPOLIS — Supervalu posted $5.23 billion in net sales for the first quarter, a decrease of 0.1% from $5.24 billion last year, though president and CEO Sam Duncan expressed confidence in the company’s performance, saying it is off to a solid start across business segments.
“Our first-quarter results reflect the investments we are making this year to position the company for future success, and I am pleased with our operating performance,” Duncan said.
Save-A-Lot’s net sales for the quarter were $1.35 billion, a 6.5% increase from $1.27 billion last year, driven by a network identical store sales increase of 5.6%. Identical store sales for corporate stores within the Save-A-Lot network were up 7.2%.
The company’s independent business net sales for the quarter were $2.4 billion, a decrease of 2.6% from $2.46 billion last year, primarily due to lost accounts, including lower sales to one New Albertson’s banner that completed the transition to self-distribution and lower military sales, partially offset by net new business.
Retail Food net sales for the quarter remained flat compared to last year’s $1.43 billion. Identical store sales were up 0.6%.
On March 21, 2013, the company completed the sale of five retail grocery banners — Albertsons, Acme, Jewel-Osco, Shaw’s and Star Market.
Supervalu operates 3,320 stores, which include 1,805 independent stores serviced primarily by the company’s food distribution business; 1,325 Save-A-Lot stores, of which 931 are operated by licensee owners; and 190 traditional retail grocery stores.
Greg Foran named new CEO at Walmart U.S.
BENTONVILLE, Ark. — Walmart named Greg Foran president and CEO of its U.S. stores division to replace Bill Simon, who is leaving the company after an eight-year run.
Foran is a relative newcomer at Walmart, who joined the company in October 2011 and by March of 2012, had been elevated to the role of president and CEO of Walmart China. In that capacity, he reported to current Wal-Mart Stores president and CEO Doug McMillon, who at the time served as president and CEO of Walmart International. McMillon assumed his new role earlier this year prompting speculation that Simon would leave the company if he were passed over for the top job.
“Greg is one of the most talented retailers I’ve ever met. His depth of knowledge and global experience will bring a fresh perspective to our business,” said McMillon. “His passion for fresh food, experience in general merchandise and commitment to e-commerce will help us serve our customers even more effectively for years to come.”
Although he only briefly oversaw Walmart’s China operations, the team made significant progress with its assortment, pricing, store operations and compliance as Foran led strategic investments in the supply chain and improved the store portfolio, according to a Walmart statement. Foran was elevated to the role of president and CEO of Walmart Asia earlier this year to oversee the retailers business in Japan and India as well as China.
McMillon spoke highly of Simon who will transition out of the company in the next six months.
“During Bill’s eight years of service to Walmart, his passion for our mission, dedication to our associates and our customers, and innovative thinking pushed us forward,” McMillon said. “From the very beginning, his vision led us to lower the cost of health care through our $4 prescription offering. And, most recently, he put us on a path to future growth with small formats and efforts that integrate digital and physical retail.”
Foran will assume his new responsibilities on August 9. Prior to joining Walmart three years ago, Foran held a number of roles with Woolworths, the leading retailer in Australia and New Zealand. He served as the managing director of supermarkets, liquor and petrol with responsibility for more than $40 billion in sales at that time. Under Foran’s leadership, the business grew sales and market share in a strong competitive market. Earlier in his career, Foran served as general manager of Big W, Woolworth’s industry leading discount store business and as general manager of Dick Smith Electronics.
“I’ve worked closely with Greg for the past few years and I’ve seen firsthand his passion for retail. I’m confident that Greg’s strong leadership skills and alignment with our culture will serve our customers and associates well,” McMillon said. “I’m excited about what he will bring to this important part of our business.”
“Being asked to lead the Walmart U.S. business is a privilege that I don’t take lightly,” said Foran. “I am excited to get started. The needs of our customers are changing dramatically and we have an enormous opportunity to serve them in new and different ways. We must be fierce advocates for our customers, work meticulously to exceed their expectations and earn their trust every day.”
Simon said it had been an honor to work for Walmart for the past eight years, adding, “this felt like the right time to move on and focus on my next opportunity. I look forward to helping the company as much as I can in the next six months.”
Walmart said it would name Foran’s successor as president and CEO of Walmart Asia at a later date.
Kermit Crawford to retire from Walgreens
DEERFIELD, Ill. — Walgreens today announced that Kermit Crawford, president of Pharmacy, Health and Wellness, will retire after 31 years in a variety of advancing roles with the company to take on new opportunities, including continuing to serve as a senior counselor to Walgreens president and CEO Greg Wasson.
Crawford announced that he plans to join the University of Southern California’s School of Pharmacy, where will serve as executive in residence and senior adviser to the Dean. Crawford currently is a member of the USC School of Pharmacy’s board of councilors. He also will serve as national chairman for the American Diabetes Association’s new Ad Council campaign across the country. The association recently named him volunteer of the year in his longtime role as a member of the organization’s board for the Northern Illinois and Indiana region. His retirement from Walgreens will be effective Dec. 31, 2014, after which he will assume the role of senior counselor.
“After 31 years with Walgreens, starting as a pharmacy intern in my 20s, the time is right to retire from the company to broaden my horizons and seek new ways to serve,” Crawford said. “I love Walgreens, and cherish my years and friends here and the incredibly dedicated people across the company. To me, community pharmacy has long been an unsung hero in our healthcare system, helping primary caregivers to provide convenient, affordable and essential health-and-wellness services in neighborhoods across America. I look forward to continuing to help Greg Wasson and the team to advance the role of community pharmacy in health care as I also pursue other opportunities to provide leadership in new areas.”
“Words cannot capture the magnitude of Kermit Crawford’s impact on Walgreens and our people, on America’s retail pharmacy industry and on the health and wellbeing of millions of customers and patients we have been privileged to serve over the years,” Wasson said. “Kermit has well-positioned Walgreens for the future, and I appreciate his willingness to serve as my senior counselor and continue his remarkable influence on our company and future — and I look forward to working together in our new capacity.”
Crawford began his career with Walgreens as a pharmacy intern in 1983. He advanced through company ranks, holding positions from pharmacist to store and district manager to VP store operations. In 2004, he was named Walgreens Health Services VP PBM services and in 2005 was promoted to EVP PBM services and a corporate VP for Walgreens, heading up all aspects of strategic, operational and profit-and-loss management of the company’s PBM.
Crawford was promoted to Walgreens SVP and then EVP pharmacy services in 2007 and 2010, respectively. In this role, he pioneered the effort to transform community pharmacy from a transaction-based practice to one focused on access to affordable, quality care, Walgreens said. In September 2010, he was promoted to president of the division. In 2011, his role was broadened to include leadership of all pharmacy, health and wellness services.