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Supervalu sells Albertsons, 4 more groceries

9:52 AM, Jan 10, 2013   |    comments
Phil Colin buys Hostess snacks at a Jewel-Osco grocery store Dec. 11, 2012 in Chicago. Jewel-Osco is being sold to a private equity group.(Photo: Scott Olson, Getty Images)
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NEW YORK -- Supervalu says it reached a deal to sell five of its biggest grocery chains - Albertsons, Acme, Jewel-Osco, Shaw's and Star Market - for $100 million in cash plus more than $3 billion in debt.

The sale to AB Acquisition, an investor group led by Cerberus Capital Management, will include 877 stores.

The group will acquire the stores for $100 million in cash, and the new company will assume $3.2 billion in existing debt.

Following the sale, Supervalu will consist of a food wholesaler, Save-A-Lot, and regional chains Cub, Farm Fresh, Shoppers, Shop 'n Save and Hornbacher's.

Supervalu said grocery retail veteran Sam Duncan will succeed CEO and Chairman Wayne Sales after the sale.

Associated Press

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