Supervalu Reorganizes Distribution Business, Cuts Jobs

Supervalu, which operates supermarkets and a distribution operation, has announced plans to streamline its independent business organization. Under the new structure, Supervalu’s independent business will consolidate from three regions to two regions, forming new East and West teams.

The company will locate the new East and West independent business region headquarters in Mechanicsville, VA, and Hopkins, MN. To head the new organizations, Supervalu has named Kevin Kemp president of the East region and Bill Chew president of the West region.

With the new structure, Supervalu stated that it would trim the organization and reduce operating costs while still working to drive sales growth with its current and prospective customers. The changes, Supervalu maintained, are consistent with the company’s ongoing commitment to delivering excellent value, service and customer programs as well as products that meet the rapidly changing needs of its independent grocery store customers nationwide.

Initially, Supervalu related, it anticipates reducing the company’s independent business regional workforce by approximately 200 positions. Employees affected will have an opportunity to apply for open positions within the new organization. The company added that it expects to create about 120 new jobs in the independent business, and, so, reduce its independent business organization by about 80 positions in total.