Albertsons 2004 Annual Report Download - page 4

Business Outlook
I believe SUPERVALU has a promising future with many exciting activities underway.
‰We have a strong growth plan for Save-A-Lot with the addition of a general merchandise offering and
an increase in store expansion with an estimated 110 to 140 new stores in fiscal 2005.
‰We continue to sharpen our regional retail excellence across multiple banners. Through new stores and
our remodeling program we have achieved a modern fleet with 80 percent of our regional stores either
new or newly remodeled in the last seven years.
‰Our diligent efforts in Distribution to rationalize our network to improve capacity utilization rates,
implement “best in class” efficiency programs, and expand our non-asset based logistics platform
remain an excellent formula to support a business model with strong cash flow characteristics.
‰Our strong financial position provides the flexibility needed to support our future growth.
‰Lastly, we expect ROIC in fiscal 2005 to benefit from the strategic activities undertaken during fiscal
2004. Our continued focus on ROIC supports a prudent and profitable approach to decision making
that should contribute to meaningful improvements in ROIC in fiscal 2005 as well.
We are confident that SUPERVALU is deploying the best short-term and long-term strategies aimed at the
changing retail environment, the evolving needs of the grocery channel and the improvement in our financial
metrics.
These business strategies will be carried out by the 55,200 hard working employees who in fiscal 2004
renewed their pledge to our Mission Statement’s commitment to serve our customers better than anyone else can,
each and every day. Our customers include retail partners, store consumers and communities. As we diligently
work to create a growing, profitable company, we will continue to deliver value for all of our stakeholders.
Jeff Noddle
Chairman and Chief Executive Officer
SUPERVALU Mission Statement
Our mission at SUPERVALU always will be to serve our customers better than anyone else could
serve them. We will provide our customers with value through our products and services, committing
ourselves to providing the quality, variety and convenience they expect.
Our success requires us to trust in our employees, respect their individual contributions and make a
commitment to their continued development. This environment will allow us to attract the best people and
provide opportunities through which they can achieve personal and professional satisfaction.
Our commitment is to support the communities in which our employees and customers live and work.
We will use our time and resources to preserve our role as a partner, neighbor and friend.
Our responsibility to our investors is clear – continuous profit growth while ensuring our future
success. SUPERVALU will prosper through a balance of innovation and good business decisions that
enhances our operations and creates superior value for our customers.
By pursuing these goals, SUPERVALU will continue to build on our foundation as a world-class
retailer and distributor that values long-standing ties with its constituents, and conducts its business with
integrity and ethics. We will continue to foster strong relationships with the diverse people and
organizations with whom we work. Through open communication with our customers, employees,
communities and shareholders, we will adapt to changing times while holding true to the fundamentals that
support both our growth and stability.
We shall pursue our mission with a passion for what we do and a focus on priorities that will truly
make a difference in our future.
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