“SuperValu regularly reviews its business operations and made the decision to consolidate these distribution centers to improve operating efficiency and better position the company for strategic growth,” the company said.
The center primarily serves stores in Ohio, Kentucky and West Virginia, company spokesman Mike Siemienas said.
The company said the consolidation should be completed in Setember.
SuperValu alerted employees at the Xenia center Thursday morning, Siemienas said. State and local officials were notified via fax and email.
SuperValu said it will work with its Xenia employees and union representatives to “discuss the details of a consolidation and ensure a smooth transition.”
The company did not elaborate.
Xenia City Manager Jim Percival said city officials received no warning despite having a good relationship with the company over the years. Percival said he learned of the move from a city hall employee who had heard the news from a SuperValu employee. The city received official word from the company at 10:32 a.m, Percival said.
The center’s closure will cost the city about $100,000 in tax revenue. The city will work with the state to find a new owner, one who will bring jobs to the site, Percival said.
“It’s very disappointing, and we’re concerned for the employees,” Percival said. “Yet, on the other hand, we have to look at this as an opportunity.”
Thursday’s announcement came a month after SuperValu reported a fourth-quarter net loss of $424 million on sales of $8.2 billion.
The company, based in Minneapolis, also reported a full-year loss of $1 billion on sales of $36.1 billion.
About the Author
