SEG to file for bankruptcy, close nearly 200 stores

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Re: SEG to file for bankruptcy, close nearly 200 stores

Post by wnetmacman » February 22nd, 2018, 7:42 pm

But wait, boys and girls; there's more:

Shoppers Value to enter New Orleans

Looks like the Baton Rouge-based Shoppers Value franchisee is expanding their success to New Orleans with a 7 store purchase. Details in the article. It's getting closer to a Louisiana exit, folks.

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Re: SEG to file for bankruptcy, close nearly 200 stores

Post by pseudo3d » February 23rd, 2018, 6:27 am

The remaining Baton Rouge stores still seem to be up for grabs, as well as New Orleans stores and the few east of Baton Rouge. Who takes those stores? Will anyone?

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Re: SEG to file for bankruptcy, close nearly 200 stores

Post by Knight » February 23rd, 2018, 10:12 pm

wnetmacman wrote:
February 22nd, 2018, 7:42 pm
But wait, boys and girls; there's more:

Shoppers Value to enter New Orleans

Looks like the Baton Rouge-based Shoppers Value franchisee is expanding their success to New Orleans with a 7 store purchase. Details in the article. It's getting closer to a Louisiana exit, folks.
My projection of Winn-Dixie exiting Louisiana and Mississippi has taken steps toward reality with fifteen Winn-Dixie stores in Louisiana changing hands.

An observation worth noting is Southeastern Grocers has combined the Winn-Dixie Louisiana and Winn-Dixie Alabama and Mississippi regions into one region: Winn-Dixie Alabama, Louisiana, and Mississippi.

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Re: SEG to file for bankruptcy, close nearly 200 stores

Post by pseudo3d » February 24th, 2018, 6:05 am

Knight wrote:
February 23rd, 2018, 10:12 pm

My projection of Winn-Dixie exiting Louisiana and Mississippi has taken steps toward reality with fifteen Winn-Dixie stores in Louisiana changing hands.
Right, but I think you were saying that those stores would all close due to the bankruptcy. I think I also said something about a Louisiana exit in 2018 but sold independently, and now with Super 1 Foods and Shoppers Value Foods taking over that's becoming a reality. I still wonder who will take the remaining Baton Rouge and New Orleans sites, whether Rouses, Albertsons, or another independent. (Due to heavy overlap and smaller stores I highly doubt Albertsons will touch the BR stores).

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Re: SEG to file for bankruptcy, close nearly 200 stores

Post by Knight » February 24th, 2018, 7:59 pm

pseudo3d wrote:
February 24th, 2018, 6:05 am
Right, but I think you were saying that those stores would all close due to the bankruptcy. I think I also said something about a Louisiana exit in 2018 but sold independently, and now with Super 1 Foods and Shoppers Value Foods taking over that's becoming a reality. I still wonder who will take the remaining Baton Rouge and New Orleans sites, whether Rouses, Albertsons, or another independent. (Due to heavy overlap and smaller stores I highly doubt Albertsons will touch the BR stores).
I have projected Winn-Dixie to completely exit Louisiana and Mississippi with stores closing as the likely result. Select stores that remain viable are being divested to other competitors in better positions in affected markets.

I project another divestiture could occur. A quantity of quality BI-LO stores in Georgia, North Carolina, and South Carolina could benefit another competitor that is established and is increasing store count within BI-LO's footprint.

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Re: SEG to file for bankruptcy, close nearly 200 stores

Post by wnetmacman » February 24th, 2018, 8:20 pm

pseudo3d wrote:
February 24th, 2018, 6:05 am
Knight wrote:
February 23rd, 2018, 10:12 pm

My projection of Winn-Dixie exiting Louisiana and Mississippi has taken steps toward reality with fifteen Winn-Dixie stores in Louisiana changing hands.
Right, but I think you were saying that those stores would all close due to the bankruptcy. I think I also said something about a Louisiana exit in 2018 but sold independently, and now with Super 1 Foods and Shoppers Value Foods taking over that's becoming a reality. I still wonder who will take the remaining Baton Rouge and New Orleans sites, whether Rouses, Albertsons, or another independent. (Due to heavy overlap and smaller stores I highly doubt Albertsons will touch the BR stores).
Albertsons has too much capacity in Baton Rouge. They haven't done well outside there and Lafayette. The only other place they currently operate is in Hammond, and that store is almost across the street from WD.

Rouses is right at the size they want to be in Baton Rouge, with their recent purchase of LeBlanc's (and that purchase put them close to many of these stores remaining already).

I stated elsewhere that in order for BGC to make anything beyond the Mississippi river work, they would need to purchase the C&S operated WD warehouse in Hammond, as the closest DC to any of this is in Monroe.

I don't know if anyone else would want the remaining stores except as replacements in New Orleans for folks like Dorignac's, Zuppardo's, Breaux Mart and the like.

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Re: SEG to file for bankruptcy, close nearly 200 stores

Post by pseudo3d » February 25th, 2018, 10:03 am

I predict that the Baton Rouge stores (if not closed outright) probably might go to independents in B.R.

Not sure about New Orleans or Mandeville.

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Re: SEG to file for bankruptcy, close nearly 200 stores

Post by wnetmacman » February 25th, 2018, 10:25 am

pseudo3d wrote:
February 25th, 2018, 10:03 am
I predict that the Baton Rouge stores (if not closed outright) probably might go to independents in B.R.

Not sure about New Orleans or Mandeville.
There are only two big independents with deep enough pockets to make any of the stores work: Matherne's (who has been shrinking) and Hi-Nabor, who recently expanded and remodeled stores, and was forced out by LeBlanc's a couple of years ago in the Drusilla Shopping Center. I wouldn't see either of these pick them up.

There aren't really any decent independents in Mandeville. Rouses already has two stores that essentially flank the existing WD store, and Walmart has a neighborhood market store that's also close by. With Albertsons being forced out, it shows that nobody would be safe there. The only store in Mandeville/Covington that I would see anyone wanting is the new store on 21 south near the interstate. There's no telling who would get that, though, as Rouses has two stores in Covington as well.

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Re: SEG to file for bankruptcy, close nearly 200 stores

Post by architect » March 15th, 2018, 4:11 pm

It's official, and 94 stores are on the initial chopping block: http://money.cnn.com/2018/03/15/news/co ... index.html

Surprisingly, no Lousiana or Mississippi pullout yet.

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Re: SEG to file for bankruptcy, close nearly 200 stores

Post by wnetmacman » March 15th, 2018, 5:47 pm

architect wrote:
March 15th, 2018, 4:11 pm
Surprisingly, no Lousiana or Mississippi pullout yet.
MS is close. There really wasn't much left, and 3 stores were sold off. I'm not sure what the current store count is, but I believe it can be represented by a 1 digit number now.

LA only has one closure, and it's a surprise. The Mandeville store is just off the Pontchartrain Causeway, like literally at the food of the northbound landing. It's sandwiched between 2 Rouses and a Walmart Neighborhood Market, plus the Whole Foods that just opened in the former Albertsons/Sav-A-Center/Albertsons. There are still 3 more stores in the area, but they're a little more separated from this trifecta.

Give them a little more time; I think they're trying to find a patsy stooge victim buyer for the warehouse that's leased out to C&S in Hammond, and for the remaining stores, which now should number less than 40.

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