Albertsons 2012 Annual Report Download - page 10

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PART I
ITEM 1. BUSINESS
General
SUPERVALU INC. (“SUPERVALU” or the “Company”), a Delaware corporation, was organized in 1925 as the
successor to two wholesale grocery firms established in the 1870’s. The Company’s principal executive offices
are located at 7075 Flying Cloud Drive, Eden Prairie, Minnesota 55344 (Telephone: 952-828-4000). All
references to the “Company,” “we,” “us,” “our” and “SUPERVALU” relate to SUPERVALU INC. and its
majority-owned subsidiaries.
SUPERVALU is one of the largest companies in the United States retail grocery channel. Additionally, the
Company is one of the largest wholesale distributors to Independent retail customers across the United States.
On June 2, 2006, the Company acquired New Albertson’s, Inc. (“New Albertsons”) consisting of the core
supermarket businesses (the “Acquired Operations”) formerly owned by Albertson’s, Inc. (“Albertsons”)
operating approximately 1,125 stores under the banners of Acme, Albertsons, Jewel-Osco, Shaw’s, Star Market,
the related in-store pharmacies under the Osco and Sav-on banners, 10 distribution centers and certain regional
and corporate offices (the “Acquisition”). As part of the Acquisition, the Company acquired the Acme,
Albertsons, Jewel, Osco, Sav-on and Shaw’s trademarks and tradenames (the “Acquired Trademarks”). The
Acquisition greatly increased the size of the Company.
SUPERVALU is focused on long-term retail growth through business transformation to meet the demands of
each neighborhood the Company serves, and targeted store remodels and new store development in the hard-
discount format. During fiscal 2012, the Company added 83 new stores through new store development and
closed or sold 43 stores, including planned disposals. The Company leverages its distribution operations by
providing wholesale distribution and logistics and service solutions to its independent retail customers through its
Independent business segment.
The Company makes available free of charge at its internet website (www.supervalu.com) its annual reports on
Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and any amendments to these reports
filed or furnished pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended (the
“Exchange Act”) as soon as reasonably practicable after such material is electronically filed with or furnished to
the Securities and Exchange Commission (the “SEC”). Information on the Company’s website is not deemed to
be incorporated by reference into this Annual Report on Form 10-K. The Company will also provide its SEC
filings free of charge upon written request to Investor Relations, SUPERVALU INC., P.O. Box 990,
Minneapolis, MN 55440.
All dollar and share amounts in this Annual Report on Form 10-K are in millions, except per share data and
where otherwise noted.
Financial Information About Reportable Segments
The Company’s business is classified by management into two reportable segments: Retail food and Independent
business (formerly Supply chain services). These reportable segments are two distinct businesses, one retail and
one wholesale, each with a different customer base, marketing strategy and management structure. The Retail
food reportable segment is an aggregation of the Company’s two retail operating segments, which are organized
based on format (traditional retail food stores and hard-discount food stores). The Retail food reportable segment
derives revenues from the sale of groceries at retail locations operated by the Company (both the Company’s own
stores and stores licensed by the Company). The Independent business reportable segment derives revenues from
wholesale distribution to independently-owned retail food stores and other customers (collectively referred to as
“independent retail customers”). Substantially all of the Company’s operations are domestic. Refer to the
Consolidated Segment Financial Information set forth in Part II, Item 8 of this Annual Report on Form 10-K for
financial information concerning the Company’s operations by reportable segment.
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