Shaw's Supermarkets
Encyclopedia
Shaw's, along with companion store Star Market, are wholly owned subsidiaries of Eden Prairie, Minnesota
Eden Prairie, Minnesota
As of the census of 2000, there were 54,901 people, 20,457 households, and 14,579 families residing in the city. The population density was . There were 21,026 housing units at an average density of 649.2 per square mile...

-based SuperValu
Supervalu (United States)
SuperValu Inc. is a United States grocery retailer and distributor. The corporation, headquartered in Eden Prairie, Minnesota, has been in business for over a century. It is the third-largest food retailing company in the United States , and ranks #51 on the Fortune 100 list.On June 2, 2006,...

. Together, Shaw's and Star Market comprise the third-largest grocery chain headquartered in New England
New England
New England is a region in the northeastern corner of the United States consisting of the six states of Maine, New Hampshire, Vermont, Massachusetts, Rhode Island, and Connecticut...

; behind Stop & Shop
Stop & Shop
The Stop & Shop Supermarket Company is a chain of supermarkets located mostly in the northeastern United States. Its main rivals are Shaw's Star Market and Hannaford in New England, while ShopRite and the A&P family of supermarkets are its main competition in New York and New Jersey.- History :Stop...

 and Hannaford
Hannaford Bros. Co.
Hannaford is an American supermarket chain based in Scarborough, Maine. Founded in 1883, Hannaford now operates stores in New England and upstate New York. Formerly known as Shop 'N' Save, Hannaford is owned by the American subsidiary of the Belgian Delhaize Group, Delhaize America, which owns over...

, although Shaw’s is the largest grocery chain whose stores are located exclusively within the New England
New England
New England is a region in the northeastern corner of the United States consisting of the six states of Maine, New Hampshire, Vermont, Massachusetts, Rhode Island, and Connecticut...

 states. Until 2010, Shaw's operated stores in all six New England states; as of 2011 Shaw's remains the only supermarket chain with stores in five of the six. The company is based in West Bridgewater, Massachusetts
West Bridgewater, Massachusetts
West Bridgewater is a town in Plymouth County, Massachusetts, United States. The population was 6,634 at the 2000 census.- History :West Bridgewater was first settled in 1651 as a part of Olde Bridgewater...

, employing about 30,000 associates in 169 stores. The company markets products under its private label
Private label
Private label products or services are typically those manufactured or provided by one company for offer under another company's brand. Private label goods and services are available in a wide range of industries from food to cosmetics to web hosting...

s — including products by Richelieu Foods
Richelieu Foods
Richelieu Foods is a private label food manufacturing company founded in 1862, headquartered in Randolph, Massachusetts, and owned by investment group Brynwood Partners of Greenwich, Connecticut....

.

Shaw’s was acquired by Albertsons in 2004, which acquired the chain from J Sainsbury plc for $2.5 billion. In 1999, Shaw’s acquired the Star Market
Star Market
Star Market was a New England chain of supermarkets owned by the Mugar family and based in Greater Boston. The company was sold to The Jewel Companies, Inc. in 1964, and was later sold to Investcorp, which sold the chain to Shaw's Supermarkets...

 chain of supermarkets. Star Market was formerly owned by Investcorp
Investcorp
Investcorp is a manager of alternative investment products, serving high-net-worth private and institutional clients. Its principal client base is in the six countries of the Gulf Co-operation Council, but it also has institutional clients in North America and Europe...

, which in turn purchased the chain from American Stores in 1994. American Stores had acquired Star Market through its hostile takeover of Jewel Companies, Inc., in 1984. Jewel acquired Star Market in 1964.

Shaw's operates stores in Maine
Maine
Maine is a state in the New England region of the northeastern United States, bordered by the Atlantic Ocean to the east and south, New Hampshire to the west, and the Canadian provinces of Quebec to the northwest and New Brunswick to the northeast. Maine is both the northernmost and easternmost...

, Massachusetts
Massachusetts
The Commonwealth of Massachusetts is a state in the New England region of the northeastern United States of America. It is bordered by Rhode Island and Connecticut to the south, New York to the west, and Vermont and New Hampshire to the north; at its east lies the Atlantic Ocean. As of the 2010...

, New Hampshire
New Hampshire
New Hampshire is a state in the New England region of the northeastern United States of America. The state was named after the southern English county of Hampshire. It is bordered by Massachusetts to the south, Vermont to the west, Maine and the Atlantic Ocean to the east, and the Canadian...

, Rhode Island
Rhode Island
The state of Rhode Island and Providence Plantations, more commonly referred to as Rhode Island , is a state in the New England region of the United States. It is the smallest U.S. state by area...

, and Vermont
Vermont
Vermont is a state in the New England region of the northeastern United States of America. The state ranks 43rd in land area, , and 45th in total area. Its population according to the 2010 census, 630,337, is the second smallest in the country, larger only than Wyoming. It is the only New England...

, while Star Market operates in Massachusetts. Shaw's has an advantage over its competitors in that it operates stores in both the more populous areas of New England (including Greater Boston
Greater Boston
Greater Boston is the area of the Commonwealth of Massachusetts surrounding the city of Boston. Due to ambiguity in usage, the size of the area referred to can be anywhere between that of the metropolitan statistical area of Boston and that of the city's combined statistical area which includes...

, Manchester
Manchester, New Hampshire
Manchester is the largest city in the U.S. state of New Hampshire, the tenth largest city in New England, and the largest city in northern New England, an area comprising the states of Maine, New Hampshire, and Vermont. It is in Hillsborough County along the banks of the Merrimack River, which...

, Burlington
Burlington, Vermont
Burlington is the largest city in the U.S. state of Vermont and the shire town of Chittenden County. Burlington lies south of the U.S.-Canadian border and some south of Montreal....

, and Portland
Portland, Maine
Portland is the largest city in Maine and is the county seat of Cumberland County. The 2010 city population was 66,194, growing 3 percent since the census of 2000...

) and many of its vacation/resort areas (including Cape Cod
Cape Cod
Cape Cod, often referred to locally as simply the Cape, is a cape in the easternmost portion of the state of Massachusetts, in the Northeastern United States...

, the mid-coast of Maine, and Vermont's ski towns). The chain's largest competitors are Hannaford
Hannaford Bros. Co.
Hannaford is an American supermarket chain based in Scarborough, Maine. Founded in 1883, Hannaford now operates stores in New England and upstate New York. Formerly known as Shop 'N' Save, Hannaford is owned by the American subsidiary of the Belgian Delhaize Group, Delhaize America, which owns over...

, Market Basket and Stop & Shop

Beginning

In 1862, George C. Shaw opened a small teashop in Portland, Maine
Portland, Maine
Portland is the largest city in Maine and is the county seat of Cumberland County. The 2010 city population was 66,194, growing 3 percent since the census of 2000...

. Meanwhile, Maynard A. Davis established a group of small downtown grocery stores in Brockton
Brockton, Massachusetts
Brockton is a city in Plymouth County, Massachusetts, United States; the population was 93,810 in the 2010 Census. Brockton, along with Plymouth, are the county seats of Plymouth County...

 and New Bedford
New Bedford, Massachusetts
New Bedford is a city in Bristol County, Massachusetts, United States, located south of Boston, southeast of Providence, Rhode Island, and about east of Fall River. As of the 2010 census, the city had a total population of 95,072, making it the sixth-largest city in Massachusetts...

, Massachusetts
Massachusetts
The Commonwealth of Massachusetts is a state in the New England region of the northeastern United States of America. It is bordered by Rhode Island and Connecticut to the south, New York to the west, and Vermont and New Hampshire to the north; at its east lies the Atlantic Ocean. As of the 2010...

, called Brockton Public Market, or BPM. In 1919, Davis purchased the George C. Shaw Company and made it a subsidiary of BPM.

Expansion

As George C. Shaw and BPM continued to grow, it was decided that a central grocery warehouse would be needed for the future growth of the two companies. In 1961, a warehouse in Brockton was purchased.

By 1965, George C. Shaw had begun to expand into northern Massachusetts and into New Hampshire
New Hampshire
New Hampshire is a state in the New England region of the northeastern United States of America. The state was named after the southern English county of Hampshire. It is bordered by Massachusetts to the south, Vermont to the west, Maine and the Atlantic Ocean to the east, and the Canadian...

. This expansion, combined with BPM's growth in volume in southern Massachusetts, moved the companies to build a distribution center in East Bridgewater, Massachusetts
East Bridgewater, Massachusetts
East Bridgewater is a town in Plymouth County, Massachusetts, United States. The population was 12,974 at the 2000 census.-History:The lands that would become East Bridgewater were first settled by Carlos Mencia in 1630 A.D. as an outgrowth of the Plymouth and Duxbury plantations...

 in 1972. In the 1980s, a warehouse was built in Wells, Maine
Wells, Maine
Wells is a town in York County, Maine, United States. Founded in 1643, it is the third-oldest town in Maine. The population was 9,400 at the 2000 census. Wells Beach is a popular summer destination.-History:...

, and in January 1991, Shaw’s opened a distribution facility for perishable food items in Methuen, Massachusetts
Methuen, Massachusetts
Methuen is a city in Essex County, Massachusetts, United States. The population was 43,789 at the 2000 census.-History:Methuen was first settled in 1642 and was officially incorporated in 1726; it is named for the British diplomat Sir Paul Methuen. Methuen was originally part of Haverhill,...

.

In 1978, BPM stores in Massachusetts changed their name to Shaw's Supermarkets, Inc. to maximize advertising. It was the first step in the contemplated merger of the two companies.

In November 1983, J Sainsbury plc, then the UK's largest supermarket group, purchased 21% of Shaw's outstanding stock. In June 1987, Sainsbury's acquired controlling interest.

Acquisitions

J Sainsbury plc acquired stores from three other New England food retailers: Iandoli's (1987), Cerretani's (1993), and the Star Market Company (1999).

In 1995, Shaw's entered Connecticut
Connecticut
Connecticut is a state in the New England region of the northeastern United States. It is bordered by Rhode Island to the east, Massachusetts to the north, and the state of New York to the west and the south .Connecticut is named for the Connecticut River, the major U.S. river that approximately...

, opening five stores. The next year, Sainsbury purchased 12 former Edwards supermarkets and two future sites from Royal Ahold
Ahold
Ahold is a major international supermarket operator based in Amsterdam, Netherlands. Ahold is listed on Euronext Amsterdam and the Frankfurt Stock Exchange.-History:...

.

The largest supermarket chain to join the Shaw's family is the Star Market Company. This acquisition strengthened Shaw's position as the second-largest supermarket company in New England. Like Shaw's, the Star Market Company had humble beginnings and a long line of "firsts" in the supermarket industry. Star was the first New England supermarket company to have air-conditioned stores, the touch method of ringing registers, in-store check verification, refrigerated cooked foods, self-service wrapped meats, and packaged produce.

Distribution Center Closings

In November 1999, J Sainsbury/Shaw’s Supermarkets closed the Star Market Distribution Center in Norwood, Massachusetts
Norwood, Massachusetts
Norwood is a town and census-designated place in Norfolk County, Massachusetts, United States. As of the 2010 census, the population was 28,602. The community was named after Norwood, England...

, laying off over 300 Local 25 Teamster members. In May of 1999 Local 25 agreed to a 6 month extension with J. Sainsbury/Shaw's Supermarkets on the current contract to bargain in "good faith". In 2001, J.Sainsbury/Shaw’s Supermarkets closed the Shaw’s Distribution Center in East Bridgewater, Massachusetts laying off over 400 UFCW members. J.Sainsbury/Shaw’s Supermarkets indicated that the warehouse was "not centrally located in its service area, and the necessary physical expansion is impossible". C&S Wholesale Grocers does the majority of the work that was performed by the two union-based distribution centers. C&S's distribution center/headquarters were in Brattleboro, Vermont
Brattleboro, Vermont
Brattleboro, originally Brattleborough, is a town in Windham County, Vermont, United States, located in the southeast corner of the state, along the state line with New Hampshire. The population was 12,046 at the 2010 census...

 at the time.

Albertsons and SuperValu

In 2004, J Sainsbury sold Shaw’s to Albertsons for US$2.48 billion. On June 2, 2006, a partnership of SuperValu
Supervalu (United States)
SuperValu Inc. is a United States grocery retailer and distributor. The corporation, headquartered in Eden Prairie, Minnesota, has been in business for over a century. It is the third-largest food retailing company in the United States , and ranks #51 on the Fortune 100 list.On June 2, 2006,...

, CVS Corporation
CVS Corporation
CVS Pharmacy, or simply CVS, is the second largest pharmacy chain in the United States , with over 7,000 stores in 41 states and Puerto Rico...

, and several investment firms including Cerberus Capital acquired Albertsons with the intent to divvy up the parts. SuperValu received what was generally thought of as the best-performing assets, which included Shaw’s and Star Market, along with other well-regarded regional chains such as Acme Markets (Philadelphia); Jewel
Jewel (supermarket)
Jewel-Osco is a supermarket chain headquartered in Itasca, Illinois, a Chicago suburb. Jewel-Osco has 182 stores across northern, central, and western Illinois; eastern Iowa; and portions of northwest Indiana.Jewel-Osco and Jewel are currently wholly owned subsidiaries of Eden Prairie,...

, and Jewel-Osco (Chicago). Unfortunately, the Shaw's chain has been beset by store closings nearly every year since its acquisition by Supervalu. At its peak, Shaw's operated more than 200 stores across New England, but closings have slowly reduced that number since 2006. At least one store has closed in every New England state except Vermont.

The first round of closings was in late August 2006, when Shaws announced it would be closing six underperforming stores in October. These stores were in New Britain
New Britain, Connecticut
New Britain is a city in Hartford County, Connecticut, United States. It is located approximately 9 miles southwest of Hartford. According to 2006 Census Bureau estimates, the population of the city is 71,254....

, Southington
Southington, Connecticut
Southington is a town in Hartford County, Connecticut, United States. It is part of Connecticut's 1st congressional district. It is situated about 20 miles southwest of Hartford, about 80 miles northeast of New York City, 105 miles southwest of Boston and 77 miles west of Providence...

, and Bridgeport, Connecticut
Bridgeport, Connecticut
Bridgeport is the most populous city in the U.S. state of Connecticut. Located in Fairfield County, the city had an estimated population of 144,229 at the 2010 United States Census and is the core of the Greater Bridgeport area...

; and in Worcester
Worcester, Massachusetts
Worcester is a city and the county seat of Worcester County, Massachusetts, United States. Named after Worcester, England, as of the 2010 Census the city's population is 181,045, making it the second largest city in New England after Boston....

 and New Bedford
New Bedford, Massachusetts
New Bedford is a city in Bristol County, Massachusetts, United States, located south of Boston, southeast of Providence, Rhode Island, and about east of Fall River. As of the 2010 census, the city had a total population of 95,072, making it the sixth-largest city in Massachusetts...

, Massachusetts. In September 2007, Shaw’s closed its stores in Providence
Providence, Rhode Island
Providence is the capital and most populous city of Rhode Island and was one of the first cities established in the United States. Located in Providence County, it is the third largest city in the New England region...

 and Pawtucket, Rhode Island
Pawtucket, Rhode Island
Pawtucket is a city in Providence County, Rhode Island, United States. The population was 71,148 at the 2010 census. It is the fourth largest city in the state.-History:...

; and Waterbury, Connecticut
Waterbury, Connecticut
Waterbury is a city in New Haven County, Connecticut, on the Naugatuck River, 33 miles southwest of Hartford and 77 miles northeast of New York City...

, because of poor sales. The closings left Shaw’s with 204 stores; 12 in Rhode Island. A total of 224 workers were laid off or transferred.

On July 25, 2009, Shaw’s closed its Bristol
Bristol, Connecticut
Bristol is a suburban city located in Hartford County, Connecticut, United States southwest of Hartford. According to 2006 Census Bureau estimates, the population of the city is 61,353. Bristol is primarily known as the home of ESPN, whose central studios are in the city. Bristol is also home to...

 and Shelton, Connecticut
Shelton, Connecticut
Shelton is a city in Fairfield County, Connecticut, United States. The population was 39,559 at the 2010 census.-Origins:Shelton was settled by the English as part of the town of Stratford, Connecticut, in 1639...

, stores. In early 2009, Shaw's had closed stores in Gorham, New Hampshire
Gorham, New Hampshire
Gorham is a town in Coos County, New Hampshire, United States. The population was 2,848 at the 2010 census. Gorham is located in the White Mountains, and parts of the White Mountain National Forest are in the south and northwest. Moose Brook State Park is in the west. The town is crossed by the...

 and Bangor, Maine
Bangor, Maine
Bangor is a city in and the county seat of Penobscot County, Maine, United States, and the major commercial and cultural center for eastern and northern Maine...

. The largest round of closings was in 2010; Shaw's announced in February that it would sell or close its 18 Connecticut stores. Eleven of those were sold to New Jersey
New Jersey
New Jersey is a state in the Northeastern and Middle Atlantic regions of the United States. , its population was 8,791,894. It is bordered on the north and east by the state of New York, on the southeast and south by the Atlantic Ocean, on the west by Pennsylvania and on the southwest by Delaware...

-based Wakefern
Wakefern Food Corporation
The Wakefern Food Corp., founded in 1946 and based in Keasbey, New Jersey , is the largest co-operative group of supermarkets in the United States...

, operator of ShopRite
ShopRite (United States)
ShopRite Supermarkets is a retailers' cooperative chain of supermarkets in the northeastern United States, with stores in New Jersey, New York, Connecticut, Delaware, Maryland, and Pennsylvania...

 and PriceRite
PriceRite
PriceRite, based in Wethersfield, CT, is a chain of limited-assortment supermarkets throughout the U.S. States of Connecticut, New York, Massachusetts, Rhode Island, Pennsylvania, Maryland and California. There are currently 49 PriceRite stores and the chain is growing fast, opening 6 new stores...

 supermarkets; and 5 to Stop & Shop.http://www.nbcconnecticut.com/news/local-beat/Shaws-Supermarket-Sold-84280617.html?corder=regular The other two never found a buyer, though one will be subdivided for a Supervalu-owned Save-A-Lot
Save-A-Lot
Save-a-Lot is a discount supermarket chain headquartered in Earth City, Missouri, near St. Louis, United States. The subsidiary of Supervalu comprises approximately 1,250 stores in the United States with over $4 billion in annual sales....

. In addition to the store closures, in late March 2010, Shaw's eliminated about 4% of its full-time workforce, which amounted to nearly 650 jobs spread out over the about 120 non-union stores.

The most recent round of closings was in early 2011; on January 5, Shaw's announced that three Massachusetts stores and two Rhode Island stores that were unprofitable would close by February 17. After the closures, Shaw's was left with 169 stores.

Store Count

According to their website, as of December 2009, Shaw’s operated 194 stores: 12 in Rhode Island, 18 in Connecticut, 19 in Vermont, 22 in Maine, 34 in New Hampshire, and 89 in Massachusetts (including 12 operating as Star Market). Including the 2011 closings, there are only 10 stores in Rhode Island and 84 in Massachusetts, leaving 169 stores as of February 2011.

Shaw's' current store footprint extends (south to north) from the coastal town of Westerly, Rhode Island to the Canadian border in Derby, Vermont. Shaw's strongest presences are in Greater Boston
Greater Boston
Greater Boston is the area of the Commonwealth of Massachusetts surrounding the city of Boston. Due to ambiguity in usage, the size of the area referred to can be anywhere between that of the metropolitan statistical area of Boston and that of the city's combined statistical area which includes...

 (where its largest competitor is Stop & Shop) and throughout New Hampshire and Vermont (where its largest competitor is Hannaford).

Despite the closings, Supervalu has remodeled and updated many Shaw's stores. In late 2010, Supervalu introduced a newly-redesigned website for Shaw's; the website design is shared with sister stores Cub Foods
Cub Foods
Cub Foods is a supermarket chain with seventy-three stores in Minnesota, Wisconsin and Illinois. The company is a wholly owned subsidiary of Eden Prairie, Minnesota-based SuperValu...

 and Jewel-Osco. Shaw's has also increased their marketing efforts, partnering with the New England Patriots
New England Patriots
The New England Patriots, commonly called the "Pats", are a professional football team based in the Greater Boston area, playing their home games in the town of Foxborough, Massachusetts at Gillette Stadium. The team is part of the East Division of the American Football Conference in the National...

 and the Boston Red Sox
Boston Red Sox
The Boston Red Sox are a professional baseball team based in Boston, Massachusetts, and a member of Major League Baseball’s American League Eastern Division. Founded in as one of the American League's eight charter franchises, the Red Sox's home ballpark has been Fenway Park since . The "Red Sox"...

 Radio Network as their "official supermarket," airing advertisements frequently on New England radio stations, and maintaining a Facebook page with more than 20,000 fans.

Osco Drug

Before it was acquired by Shaw’s, Star Market Company had been part of Jewel Companies, and while Jewel owned Star it built many combination food-drug stores branded as "Star-Osco," with common checkstands but separate management teams. While it owned Star, Jewel also built many stand-alone Osco Drug stores in New England. After Jewel was acquired by American Stores
American Stores
American Stores Company was an American public corporation and a holding company which ran chains of supermarkets and drugstores in the United States from 1917 through 1999...

 in 1984, the Star-Osco stores were re-launched as Star Markets, and placed under a single management team. In 1999, Albertsons acquired American Stores, and in 2001, Albertsons sold its 80 New England Osco Drug
Osco Drug
Osco Drug is a chain of pharmacy stores which today operate as in-store pharmacies under SuperValu Pharmacies. Osco Pharmacy is found in Jewel-Osco, Albertsons, Shaw's and Star Market, while Sav-on Pharmacy is found in Acme and Albertsons. Since 2006, Osco is a wholly owned subsidiary of...

 locations to Jean Coutu
Jean Coutu Group
The Jean Coutu Group Inc. is a Canadian drugstore chain headquartered in Longueuil, Quebec. It has more than 360 franchised locations in New Brunswick, Ontario and Quebec under the PJC Jean Coutu, PJC Clinique and PJC Santé Beauté banners...

 group, which added them to its Brooks Pharmacy
Brooks Pharmacy
Brooks Pharmacy was a chain of more than 330 pharmacies located throughout New England and New York and has been a well-recognized name in the New England pharmacy industry for several decades. The corporate headquarters were located in Warwick, Rhode Island...

group. When American Stores sold Star Markets in 1994 to Investcorp, the Osco connection was ended, or so it seemed. When Albertsons bought Sainsbury's American supermarket assets in 2004, including Star Markets, Star and Osco were reunited under one corporate umbrella. By 2005, the signs on the front of all of Albertsons-owned grocery stores with in-store pharmacies were changed, adding either "Osco" or "Sav-On" to the stores’ logos, to emphasize the one-stop shopping available inside. The drug store name chosen reflected which of Albertsons’ drug chains operated in the specific marketing area. Because New England had previously been an Osco market area, the Shaw’s and Star Markets with pharmacies were renamed "Shaw’s-Osco" and "Star-Osco." Today, nearly 60 Shaw's and Star Market stores operate an Osco Pharmacy within.

Brands

Shaw's Star Market has gradually acquired brands, including:
  • Osco Drug
  • Shoppers Value
  • Home Life
  • Market Fresh
  • Culinary Circle


Supervalu announced in May 2011 that its national brand equivalent products (including Shaw's) would be renamed "Essential Everyday" in line with its plans to phase out own-brand products carrying the names of its banners nationwide.

External links

The source of this article is wikipedia, the free encyclopedia.  The text of this article is licensed under the GFDL.
 
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