Albertsons 2016 Annual Report Download - page 76

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74
Retail Stores
During fiscal 2016, the Company paid $7 to acquire equipment and leasehold improvements, identifiable finite-lived intangible
assets and inventories of four retail stores from multiple independent retail customers. The purchase price was allocated to the
acquired store assets and such assets were recognized at their estimated fair values and included inventories, property, plant and
equipment, and goodwill.
During fiscal 2015, the Company completed the purchase of seven Rainbow Foods grocery stores, 11 Rainbow Foods
pharmacy locations and one Rainbow Foods liquor store from RBF, LLC and Roundy’s Supermarkets, Inc. (“Roundy’s”). Five
of the grocery stores, each of the pharmacies and the liquor store are operating under the Cub Foods banner, and two of the
grocery stores are operating as Rainbow Foods grocery stores.
Total consideration for the stores and pharmacies acquired by the Company was $34 plus cash payments of $5 for
inventories. The Company assumed certain off-balance sheet obligations, including operating leases and multiemployer pension
obligations with respect to the acquired stores. In addition, the Company also acquired Roundy’s RAINBOW™ trademark.
The fair value of assets acquired was $39, including property, plant and equipment of $15, goodwill of $14, inventories of $5,
identifiable finite-lived intangible assets of $4 and other current assets of $1.
Save-A-Lot Licensee Stores
During fiscal 2016, the Company paid $2 to acquire equipment and leasehold improvements, identifiable finite-lived intangible
assets and inventories associated with eight licensed Save-A-Lot stores from multiple licensee operators. The acquired store
assets were recognized at their estimated fair values and included favorable operating lease intangible assets, goodwill,
inventories and property, plant and equipment. The remaining terms of the favorable operating leases ranged from five to ten
years.
During fiscal 2015, the Company paid $19 to acquire 38 licensed Save-A-Lot stores from multiple licensee operators through
20 separate purchase agreements. The fair value of acquired store assets were recognized at their estimated fair values and
included $8 of favorable operating lease intangible assets, $5 of goodwill, $3 of inventories and $3 of property, plant and
equipment. The remaining terms of the favorable operating leases ranged from three to thirteen years.