How Will Sale of Shaw's Impact Salem's Store?

No immediate changes planned, but store leases could eventually be sold, analysts say.

The new owners of local Star Market and Shaw's supermarkets say no immediate changes are planned for the stores.

According to the Boston Globe, there are 155 Shaw's and 14 Star Markets with 17,000 employees. In November the troubled company had announced cutting 700 jobs.

The new owners, an investor group led by Cerberus Capital Management, bought the stores as part of a bigger $3.3 billion deal. Cerberus also controls the locally based Steward Health Care System network of community hospitals

The Boston Herald says Albertson's will take over all the New England Shaw's and Star Markets. Albertson's is a well-known supermarket brand name in the West and parts of the northern Midwest. 

The Herald also reports that the deal has industry analysts guessing that some of the Shaw’s and Star Markets could be sold off again to others after the deal is done. 

Do you shop at Shaw's or Star? Does it matter to you who owns the company?

Edward January 13, 2013 at 03:51 AM
Market Basket has been eating Shaws lunch since the day MB opened. Looking at the Herald article as to who might buy some leases if some go up for sale, I think out of the ones listed, Hannaford might be a logical buyer, if the investor group puts the Salem store up for sale. Stop & Shop and Whole Foods have stores in Swampscott that are geographically too close to the Salem Shaws, so I can't see either of these two acquiring the lease. For the most part, I stopped going to Trader Joe's once they closed the Swampscott store and moved it to Saugus. For the items I bought there, it's currently not worth the trip to their Saugus or Peabody locations, although the Peabody store recently started selling wine. If I now go to Trader Joe's, it's once a year, if that. But Trader Joe's would be a nice fit in Salem, they would have a large store (compared to the Peabody and former Swampscott stores) and I don't see them as actually competing with Market Basket, as they have a different clientele. Should Trader Joe's acquire the Salem Shaws and replace it with a Trader Joe's, I would definitely shop there, no question.
Edward January 13, 2013 at 03:51 AM
'dog eat dog frenzy'? Chester - you're being too kind! I think it's even worse than that! LOL!
Edward January 13, 2013 at 03:55 AM
The original Albertson's company, had initially acquired Shaws from J. Sainsbury of the UK, which had owned Shaws for many years. With Supervalu selling these chains back to the (now) 'new' Albertson's, Supervalu is essentially reverting back to its roots, the way the company was - before it bought these chains from the original Albertson's.
Edward January 13, 2013 at 03:56 AM
Regarding Hannaford, they do have experience competing with Market Basket up in New Hampshire.
Edward January 13, 2013 at 04:00 AM
Wegmans would be interesting, but the size of the stores they plan to open, are around 100,000 sq. ft., if not larger. But I believe the size of the Salem Shaws isn't that large.


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