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BOISE, Idaho — AB Acquisition LLC, the parent of Albertson’s LLC, and Safeway Inc. have named the senior executive team that will head the combined company when its planned merger is completed.
"We’re drawing on the strong talent within both companies to build an innovative, customer-focused and growth-driven company," said Safeway president and chief executive officer Robert Edwards, who will serve as the combined company’s president and CEO. "We are confident in this team’s ability to build a great company that’s positioned to win over the long term by earning the loyalty of grocery shoppers in every market we serve and delivering superior operational and financial results."
The new team includes Bob Gordon as executive vice president and general counsel; Shane Sampson as executive VP of marketing and merchandising; Andy Scoggin as executive VP of human resources, labor relations, public affairs and government affairs; Jerry Tidwell as executive VP of supply chain and manufacturing; Lee Wilson as executive VP and chief administrative officer; Bob Dimond as executive VP and chief financial officer; Justin Ewing as executive VP of corporate development and real estate; and Barry Libenson as interim executive VP and chief information officer.
Dimon, Ewing and Libenson report to Wilson. Libenson is due to remain with the combined company through March 25, 2015, when a replacement will be named.
Also named to leadership positions with the combined company are Wayne Denningham, Justin Dye and Kelly Griffith, each of whom will serve as regional executive VP and chief operating officer.
The new company will be comprised of three regions; Denningham will head the South region, Dye will head the East region and Griffin will head the North region.
There will also be 14 retail divisions. The company plans to keep the focus and financial responsibility at the division level, while taking advantage of the expertise, vision and core capabilities of the corporate team.
The 14 divisions will be supported by corporate offices in Boise, Idaho; Pleasanton, Calif.; and Phoenix.
The division presidents for the new company, who will report to the chief operating officer for their respective regions, will be the following: Dennis Bassler, Portland Division, North Region; Paul McTavish, Denver Division, North Region; Susan Morris, Intermountain Division, North Region; Tom Schwilke, Northern California Division, North Region; Dan Valenzuela, Seattle Division, North Region; Shane Dorcheus, Southwest Division, South Region; Scott Hayes, Southern Division, South Region; Sidney Hopper, Houston Division, South Region; Lori Raya, Southern California Division, South Region; Robert Taylor, United Division, South Region; Steve Burnham, Eastern Division, East Region; Jim Perkins, Acme Division, East Region; Jim Rice, Shaw’s Division, East Region; and Mike Withers, Jewel-Osco Division, East Region.
No store banner changes are planned, according to the companies.
"We know the best way to grow our business is to have the highest-quality fresh departments; lower prices; clean, well-stocked stores; and the best customer service in the market," said Bob Miller, Albertsons current CEO, who will become executive chairman of the combined company upon completion of the transaction. "Our teams will focus on delivering what customers want locally, and we will give our store teams more flexibility to make decisions that are right for their neighborhoods. The division teams will have the responsibility to have the right assortment for their markets."
Under a $9 billion deal announced in March, Safeway agreed to be acquired by AB Acquisition, an affiliate of Cerberus Capital Management LP. The transaction will merge the two food and drug chains’ rosters of supermarket banners, including Safeway, Vons, Pavilions, Randalls, Tom Thumb, Carrs, Albertsons, ACME, Jewel-Osco, Lucky, Shaw’s, Star Market, Super Saver, United Supermarkets, Market Street and Amigos. Combined, the company will have more than 2,400 stores, as well as nearly 2,000 pharmacy locations.
Safeway shareholders approved the proposed merger agreement on July 25, under which AB Acquisition will acquire all outstanding shares of Safeway. The transaction is under review by the Federal Trade Commission and is expected to close in the fourth quarter of this year, pending FTC approval.
