Corporate Governance

Target’s database breach in December 2013 not only affected the retailer’s fourth quarter comparable store sales, but also contributed to plummeting shopper penetration post-holiday.

Kantar Retail ShopperScape data indicates that just 33% of U.S. households reported shopping at Target or SuperTarget during January 2014, the lowest penetration number for Target in the past three years, and a 22% decrease in penetration compared to January 2013.

National Retail Federation president and CEO Matthew Shay and chief economist Jack Kleinhenz issued a response to the organization’s February jobs report.

“While there are signs of modest momentum in the economy, now is not the time to play partisan politics with the recovery by forcing federal mandates on retailers and small business owners like an increase in the minimum wage,” Shay said. “Such policy decisions could hamper economic growth and actually drive up the unemployment rate.”

Foot Locker enjoyed record results for the fourth quarter and full year ended Feb. 1, and expects to build on that momentum in 2014.

For the quarter, the company reported net income of $121 million, or $0.81 per share, for the 13 weeks ended Feb. 1. This represents an increase of 19% over earnings per share of $0.68 for the 14-week period ended Feb. 2, 2013.  

Severe weather that persisted during the year’s shortest month affected Gap’s February sales results. 

The company reported net sales for the four-week period ended March 1 of $929 million, compared with net sales of $966 million for the four-week period ended March 2, 2013. Comparable-store sales for the month declained 7%, versus last year’s 3% increase.

“While February was clearly a difficult month, we remain focused on executing our global priorities,” said chairman and CEO Glenn Murphy.

New Albertson’s has acquired five Dominick’s locations and appointed Shane Sampson, currently president of the company’s Boston-based Shaw’s division, as president of the Jewel-Osco division based in Chicago.

Sampson fills the role that had been held by interim division president Jim Rice since January 2014.

Sampson’s first project highlights the company’s commitment to investing in Chicago: Remodeling and reopening five additional former Dominick’s locations.

Charles W. H. Matthaei, chairman at Roman Meal Company, died Feb. 26. Matthaei headed the family-owned company for nearly 70 years.

Bi-Lo Holdings, parent company of the Bi-Lo and Winn-Dixie supermarket chains, plans to convert seven existing Harveys stores to Winn-Dixie stores and three existing Winn-Dixie stores to Harveys stores.

The stores are part of the pending acquisition of 134 operating stores from Delhaize Group.

Villanova, Pa. -- Ceelite Technologies has introduced a new LED product line it calls Illumastrip, which serves as an alternative to LED tubes and fluorescent tubes for standard fixtures such as strips, vapor tights and troffers.

The new Illumstrip products can be installed in existing or new fixtures, and reduce energy by 50%-75% with an ROI of under three years, according to the company.

New York -- Private-equity firm Cerberus Capital Management has reached a preliminary agreement to buy Safeway Inc. for over $9 million, the Wall Street Journal reported. The deal is subject to board approval.

As part of the deal, Cerberus would pay roughly $40 a share for Safeway.

The Kroger Co., which recently completed its acquisition of Harris Teeter, reportedly was also interested in making a bid for Safeway. Even if a deal is announced between Cerberus and Safeway, Kroger could still mount a bid.

Cincinnati – The Kroger Co. earned a better-than-expected $422 million in its fourth quarter, down from $462 million in the year-ago period, which included an additional week of sales. The nation’s largest supermarket operator issued a better-than-expected profit for the year ahead.