Weis to spend $109 million on capital expenditures this year

Weis Markets announced late last month that the company plans to invest $109 million in capital expenditures during 2019. The investments are slated for new stores, remodels, supply chain improvements and technology upgrades.

In the same announcement, a Weis executive said that sales rose to a record $3.5 billion in 2018, with comparable-store sales increasing in 18 of the past 19 quarters.

The Weis executive attributed the company's recent success to technology investments, targeted holiday promotions, price improvements and more efficient store-level inventory management.

Weis Markets launching same-day delivery via Shipt

Weis Markets announced that it will rollout same-day delivery via Shipt beginning on September 6 in 11 markets throughout Pennsylvania, Delaware and Maryland. Shipt, based in Alabama and owned by Target, said the rollout will give nearly 2.6 million households access to products delivered from Weis in as soon as one hour.

The same-day service will serve as another online option for Wies customers, as the supermarket chain already has its Weis 2 Go click-and-collect grocery service available at about 90 stores. Weis operates 2016 stores in Pennsylvania, Delaware, Maryland, New Jersey, New York, West Virginia and Virginia.

ShopRite tops in New Jersey with 139 stores

A story on NJ.com last month listed the 10 biggest supermarket chains (by number of stores) in New Jersey. Here's the list.

ShopRite - 139 stores
Acme - 77
Stop & Shop - 61
Target - 44
Aldi - 42
Walmart - 29
BJ's Wholesale Club - 23
Kings Food Market - 23
Save-A-Lot - 22
Key Food - 22

Stores in New Jersey with fewer locations include Whole Foods, Trader Joe's, Wegmans, Weis Markets, and soon... Lidl.

Weis adding stores, to spend $90M on CapEx

Weis Markets announced at their annual meeting last month that they are planning on one new store for 2017 and seven new stores for 2018, as well as several remodels and two new fuel centers. The company has planned for about $90 million in capital expenditures this year.

In 2016, Weis purchased five Mars Super Market stores and 38 Food Lion locations.  They now operate 204 stores with total annual sales of approximately $3.1 billion.

Weis Markets unveils in-store pub, ice cream shop and drive-thru pharmacy

Weis Markets unveiled its "Community Market," a new store prototype, last week in Enola, PA, near Harrisburg. The 65,000 square foot store incorporates an in-store pub, ice cream shop, juice bar and expansive food court.

According to a PennLive.com story that was reported in Supermarket News, the store is designed to take Weis' service to the next level.

"We are sort of a middle-of-the-road supermarket," said CEO Jonathan Weis in the PennLive story. "We always have one eye on pricing and we compete with massive competitors such as Royal Ahold, Walmart and Wegmans, and others who do a tremendous volume. So that tempers our thinking. But, on the other hand, we have to be on trend. We want to be interesting, not boring or dull. We just have a philosophy that we're not going to be afraid to fail."

The new store protoype also includes a drive-thru pharmacy, a fuel center, and online ordering for in-store pickup. The company says it intends to incorporate elements of the new prototype into existing stores.

Ahold-Delhaize trading as one entity, selling off stores to avoid antitrust concerns

Ahold-Delhaize began trading as a combined entity on Monday, July 25, a few days after the Federal Trade Commission issued a consent order allowing for the completion of the merger, subject to the sale of 81 stores due to antitrust concerns.

According to the company, agreements have been made to sell all 81 stores, plus an additional five stores that were included as part of negotiations with buyers in order to reach a package deal. Buyers include Weis Markets (38 Food Lion stores in Delaware, Maryland and Virginia), Supervalu (22 Food Lion stores in Maryland, Pennsylvania, Virginia and West Virginia), and Publix (10 Martin's stores in Richmond, Virginia), among others.

The FTC said the agreement is subject to public comment until August 22, after which the commission will decide whether to make the proposed consent order final.

Weis to increase cap-ex to $140 million

Weis Markets announced last month that it plans to increase capital spending by 33% this year to a record $140 million. The funds will cover the cost of three new stores, 20 remodels and technology investments.

Last year's capital spending totaled $92 million and covered 14 remodels and five Gas N' Go centers.

Weis operates 162 stores in Pennsylvania, Maryland, New Jersey, New York and West Virginia.

Weis Markets investing over $100 million in growth

Weis Markets announced last week that it would invest more than $100 million on 16 growth and improvement projects in 2014. The company also said it would continue to increase its focus on "maximizing efficiency by driving millions of dollars of cost out of the system while maintaining high standards for store service."

President and CEO Jonathan Weis said this ongoing focus has helped Weis Markets to reduce store level inventories and improve freshness.

In 2013 Weis opened two stores in Maryland, and one each in New Jersey and Pennsylvania.

The company has more than 18,000 employees and operates 165 stores in Pennsylvania, Maryland, New York, New Jersey and West Virginia.

Flanders store is Weis Markets fifth in New Jersey

Weis Markets announced yesterday that its new store in Flanders is the fifth New Jersey store operated by the PA-based food retailer. Grand opening ceremonies were held for the company's 58,500 square foot supermarket in Sutton Plaza Shopping Center in a space that used to be occupied by A&P.

Weis operates 166 stores in Pennsylvania, New Jersey, New York, Maryland and West Virginia.

Walmart, Kroger, Costco boast top sales volumes for U.S. food retailers

Last month Supermarket News released its annual ranking of the Top 75 Food Retailers and Wholesalers in the United States. The top 10 remained the same from last year, with the exception of Supervalu, which dropped from six to 16 as a result of the sale of 877 Albertsons stores in 2013.

The top 10 retailers are as follows (local banners are listed in parenthesis):

1 - Walmart
2 - Kroger
3 - Costco
4 - Target
5 - Safeway
6 - Loblaw
7 - Publix
8 - Ahold (Giant)
9 - 7-Eleven
10 - Albertsons

 Other companies of note include the following:

14 - Delhaize (Bottom Dollar, Food Lion)
16 - Supervalu (Save-A-Lot)
18 - Wakefern (ShopRite, PriceRite, Fresh Grocer)
19 - Whole Foods
20 - BJ's Wholesale Club
21 - Trader Joe's
26 - Aldi
30 - Wegmans
32 - A&P (Pathmark, Super Fresh)
46 - Weis Markets
59 - Saker ShopRite
65 - The Fresh Market
66 - Village Super Market (ShopRite)
68 - Grocery Outlet (Amelia's)
74 - Inserra Supermarkets (ShopRite)

Jonathan Weis named Weis Markets President and CEO

Jonathan Weis was named President and CEO of Weis Markets, following in his father Robert's footsteps. Robert currently serves as Chairman of the company's Board of Directors.

Jonathan Weis has been with the company since 1989 and has served in a number of roles, most recently as interim CEO, and Vice Chairman and Corporate Secretary.

Weis Markets was founded in 1912 and operates 165 stores in PA, MD, NJ, NY and WV.

Bottom Dollar, Giant opening stores; Weis to close a store

New Bottom Dollar stores opened today in Ambler, PA and in the Germantown section of Philadelphia. These stores represent the 42nd and 43rd stores in the Greater Philadelphia Market. Bottom Dollar now operates 62 stores in PA, NJ and OH. The discount grocery chain, a subsidiary of Delhaize, is still not profitable.

Giant Food is scheduled to open on November 6 in a former Genuardi's location in Edgemont Square Shopping Center, Newtown Square, PA. The store, which has been vacant since 2010, is 43,000 SF. Giant, a division of Ahold, has about 200 stores in PA, MD, VA and WV.

Weis Markets announced last week that it will close its Pottstown supermarket in the next couple weeks due to "continuing under-performance." The 45,228 square foot store opened in 1995 and is in the same shopping center as Walmart. A new Giant opened in the last couple years less than a mile away. Despite the closure, Weis seems to be opening and renovating several stores.

 

Weis Markets CEO resigns

Weis Markets announced yesterday that CEO David J. Hepfinger has resigned as CEO "to pursue other interests." Jonathan Weis, the company's vice chairman, has been named CEO on an interim basis.

Hepfinger served as CEO for more than four years, during which time the supermarket chain experienced significant store expansion and renovation programs, including the acquisition of several former Genuardi's stores.

More recently, Weis reported decreases in sales and comp-store sales for the second quarter of 2013.

Weis Markets has 165 stores in Pennsylvania, Maryland, New Jersey, New York and West Virginia.

Weis opens fourth New Jersey store

Last Monday Weis opened its fourth New Jersey store, this one on Route 206 in Hillsborough. The store is 55,200 square feet and features the usual departments plus an in-store pizza kitchen and online shopping. The company expects that the store will receive the EPA's GreenChill Gold-Level Certification. That's great for the environment, and if it also means fresh produce and low prices (which it has absolutely nothing to do with), customers will be happy about it as well.

Weis currently operates 164 stores in PA, MD, NY, NJ and WV.

Weis Markets targeting Bedminster, PA for new store; to spend $135 million on CapEx this year

Last week Weis Markets presented its plans to the Bedminster Township planning commission for a 63,000 square foot supermarket and adjacent gas station at the corner of Routes 113 and 313 in Bucks County, not far from Doylestown. Meetings with the Board of Supervisors and the town's municipal authority are planned for the coming months.

Township officials have been hoping for some form of new construction at the site that would result in road improvements paid for by the developer. Rite Aid had received approvals to build on the site, but abandoned its plans.

In related news, Weis announced that it would invest $135 million this year towards 37 major projects, including four new stores and 32 remodels. (I'm not quite sure what the 37th project is.)

Weis currently operates 164 stores in PA, NJ, MD, NY and VA.

Weis opens large, green supermarket in Fogelsville

Weis Markets opened its newest store earlier this month in Fogelsville, and at 65,800 square feet it's the company's largest in the Lehigh Valley. It is also expected to be the Valley's first grocery store to be LEED-certified by the U.S. Green Building Council.

According to Weis, the store will use approximately 22 percent less electricity than a typical grocery store, and 60 percent fewer refrigerant emissions.

The store's 35-seat cafe offers beer that customers can drink with their meal or take home.

The largest supermarket in the Lehigh Valley is the 74,000 square foot Giant that opened last December.

Weis Markets 3Q results include higher earnings, lower sales

Weis Markets announced its third quarter earnings recently, which were highlighted by a 1.2% increase in net income to $17.2 million.

In addition:

• Earnings per share increased 1.6% to $0.64 per share as compared to the same period one year ago.
• Operating income increased 1.3% to $26.5 million.
• Sales decreased 1.5% to $668.4 million.
• Comparable store sales decreased 1.7%.

According to the company, net income and operating income increases were due to its continuing focus on disciplined promotions and marketing, increased store-level productivity, improved operational and supply chain efficiencies, and a decrease in depreciation expenses.

The decrease in sales was attributed to spikes in sales in the third quarter of 2011 as a result of Hurricane Irene and Lee. Weis also pointed to higher gas prices as well as cautious consumer spending due to high unemployment in Northeastern Pennsylvania, New York's Southern Tier, and parts of Central Pennsylvania.

For the year-to-date, the company's sales were down 0.4% and comparable store sales were down 0.2% as compared to the same period one year ago. Net income rose 7.3% and operating income rose 7.1%.

Whole Foods and Weis Markets report net earnings increases

Whole Foods and Weis Markets both reported increases in net earnings last week.

Whole Foods:

• Net income for the third quarter was up 32% compared to the same period one year ago, driven by an 8.2% gain in same-store sales, according to the company.
• Net income for the quarter was $116.8 million, and sales were up 14% to $2.7 billion.
• For the fiscal year-to-date (40 weeks), net income rose 32% to $352.8 billion on a 13% increase in sales, to $8.8 billion. 
• The company opened nine new stores in the quarter, including one relocation. Seven new locations are expected for the fourth quarter.
• There are currently 329 stores.

Weis Markets:

• Compared to the same quarter last year, net earnings for Weis Markets' second quarter increased 12.1% to $23.2 million due to improved operating efficiencies and decreased deprecation, according to the company.
• Sales improved 0.1% to $677 million, while comparable-store sales increased 0.4%.
• Operating income climbed 11.4% to $35.3 million.
• Year-to-date, net income increased 10% to $26.9 million on sales of $1.3 billion, a 0.2% gain.

Weis Markets to close on 3 Genuardi's stores next week

I've written before about Giant's plan to take over 16 Genuardi's stores (The Genuardi's list - sold, closing and still for sale...) and Weis Markets' acquisition of three Genuardi's locations (Weis to buy three PA Genuardi's stores), but not much has been said about when all these changes will take place.

One of the first actual dates I've seen (thanks to the May issue of Food Trade News) is June 11, when Weis Markets plans to close on the Conshohocken, Doylestown and Norristown stores. According to the report, the refurbished units should reopen within a week.

In the last couple months I have also heard that the Federal Trade Commission won't allow Giant to open all 16 of the stores it originally planned to acquire from Genuardi's. And last week I read in the same Food Trade News issue referenced above that Giant will get 15 stores, with the Newtown, PA location going to an independent operator.

Weis posts strong earnings, Bottom Dollar exceeding expectations

Weis Markets said yesterday that improvements in store productivity and cost controls contributed to net earnings of $20 million for its fiscal first quarter, an increase of 7.7% compared to the same period last year. In addition, sales increased 0.3% to $661.6 million, and comparable store sales improved by almost 1%.

On the other hand, despite positive results from Bottom Dollar, U.S. sales for the Delhaize Group fell 1.2% to $4.6 billion in the first quarter as compared to a year ago. Profits were down 21.7% to $173 million and comparable store sales fell 0.6%. According to the company, price investments at Food Lion and Hannaford are positioning the stores for long-term success but are coming at a cost to short-term earnings.

In their quarterly filing, Delhaize reported that Bottom Dollar continues to see strong revenue growth, and Philadelphia and Pittsburgh area stores are exceeding revenue expectations.