Supervalu Inc. (Eden Prairie, Minn.) is discussing selling all or part of the company, The Wall Street Journal reports. The supermarket chain operates 4400 stores under several banners, including Albertsons, Jewel-Osco and Save-A-Lot. As part of the announcement, the company will suspend its quarterly dividend.
The retailer’s earnings fell 45 percent in the latest quarter, the Journal reports, as same-store sales dropped 3.7 percent for overall retail food business and 3.4 percent at Save-A-Lot.
"While our shift to a fair-price-plus-promotion strategy is right for our business, it is essential that we move even more aggressively to lower prices, and anticipate and respond to competitor actions," ceo and president Craig Herkert told the Journal. "We intend to do this while remaining profitable, continuing to pay down debt and investing."