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Safeway 1986 & Unsettling Times Eastern Division

Posted: 25 Jun 2019 17:32
by explorersea
Attached is a picture of Eastern Division area Safeway store and employees I found from a UFCW (union) publication in my files from 1986. It was an anxious time for Safeway as they blocked a hostile take over by the Dart Group and liquidated property and whole Divisions to pay KKR to buy them. The Eastern Division was discussed as possibly a candidate to be sold off as it was not necessarily very profitable and had high labor costs. The store pictured is a typical early 1980s build when construction budgets were tight. The walls were predominately prefab concrete, a store didn't necessarily receive a service Deli or Fish counter. Back rooms, Fridges and Freezers were smaller. There were two entry doors into the store but people funneled through one channel in front of the checkstands to help with controlling shop lifting.

Re: Safeway 1986 & Unsettling Times Eastern Division

Posted: 27 Jul 2019 08:16
by pseudo3d
Didn't the Safeway "Eastern Division" not really happen until after the sell-offs? I seem to recall there was a separate Virginia division that was mostly sold off and merged in with the Washington DC Division.

Re: Safeway 1986 & Unsettling Times Eastern Division

Posted: 28 Jul 2019 11:23
by rich
I think Richmond was a separate division. i don't know about Hampton Roads. I think the South Central PA stores were run as part of the DC division.

Re: Safeway 1986 & Unsettling Times Eastern Division

Posted: 28 Jul 2019 19:30
by klkla
This article from March 5th 1987 has some information about this.

"Bradford said Safeway has no plans to sell six divisions: Southern California, Northern California, Phoenix, Seattle, Portland, Ore. and Washington, D.C. But the remaining eight divisions--Dallas, Houston, El Paso, Denver, Kansas City, Oklahoma City, Little Rock, Ark. and Richmond, Va.--are all under scrutiny because of comparatively high labor costs, he said."

In the end they did end up selling Southern California and keeping Denver.

https://www.latimes.com/archives/la-xpm ... story.html