Ukrop’s may be for sale, publication says
FILE PHOTO/TIMES-DISPATCH
Ukrop’s employed 3,363 people in 25 stores in the Richmond area as of Jan. 1.
Ukrop's Super Markets Inc. has initiated discussions with potential buyers for the 28-store chain, a regional grocery trade publication reported yesterday.
Food World reported on its Web site that family-owned Ukrop's, a Richmond-area institution for decades, had issued a prospectus "detailing vital Ukrop's store data and seeking interest in a potential sale." Food World cited multiple industry sources.
Jeff Metzger, publisher of Maryland-based Food World, declined to comment on the report yesterday.
Potential buyers responding to the prospectus included Harris Teeter, Supervalu and Netherlands-based Ahold, Food World reported.
Ukrop's did not respond to several requests for comment.
A spokeswoman for Harris Teeter would say only that it is the company's corporate policy "not to comment on rumors." A spokeswoman for Supervalu said the company does not publicly discuss market speculation.
Ahold did not respond to requests for comment.
Ukrop's employed 3,363 people in 25 stores in the Richmond area as of Jan. 1.
The Food World report came amid widespread discussion on Richmond-area blogs and online chats of the possibility of Ukrop's being sold, including reports that Harris Teeter had applied for state licenses to sell alcohol in the same number of locations that Ukrop's has stores. Few of the posts cited sources.
A spokeswoman for Harris Teeter said the North Carolina-based grocery chain had not applied for such licenses, and a spokeswoman for the state Department of Alcoholic Beverage Control said no such applications had been filed.
As of yesterday evening, the ABC Department Web site did not show any pending applications in the area for Harris Teeter or its parent company, Ruddick Corp.
There also were no pending alcohol-sales license applications in the name of Ukrop's, Ahold or Supervalu.
Talk of a possible Ukrop's sale to Harris Teeter has circulated for several years. In an e-mail statement in May, the company chalked up the talk to rumors.
"It seems like every year about this time the same rumors circulate," Ukrop's said in the statement.
Harris Teeter Inc. operates 181 stores in eight states including Virginia but not in the Richmond market. However, the chain has stores in Northern Virginia, Hampton Roads, Charlottesville and Danville.
Gov. Timothy M. Kaine announced in January that Harris Teeter will invest $101 million to open a food-distribution operation in King George County, creating 335 jobs.
The company employs about 21,000 people. It has headquarters in Matthews, N.C., near Charlotte.
Minnesota-based Supervalu owns and operates about 2,500 stores under several different brands and also supplies grocers, including Ukrop's. Supervalu owns Virginia Beach-based Farm Fresh Inc., which operates the Market at Tobacco Row in Richmond.
Ahold is an international group of grocery stores, with locations in the U.S. and Europe. It owns Landover, Md.-based Giant, which has about 20 stores in Northern Virginia and several in Washington.
Ukrop's was founded in 1937, when Joseph Ukrop mortgaged the family farm to open the first store in Richmond.
It expanded to dominate the Richmond grocery market and now has 28 stores -- 25 in the Richmond area and one each in Williamsburg, Fredericksburg and Roanoke.
Over its 72-year history, the company has been a major supporter of area charities and community events, including sponsoring the Monument Avenue 10K race. In September, Ukrop's reported that its Golden Gift program had distributed more than $12 million to local nonprofit organizations since 1987.
It has remained family-owned, with one of the founder's sons, Robert S. Ukrop, 62, currently serving as chairman, president and CEO of the company.
Brother James E. Ukrop, who turns 72 this month, is chairman of First Market Bank, the majority of which is owned by the grocery chain and the family. He is a former chairman of Ukrop's Super Markets.
First Market is in the process of merging with Bowling Green-based Union Bank and Trust.
Ukrop's has acknowledged some problems in recent years. The company has discussed publicly its problems gaining a foothold in the Roanoke market with the store it opened there two years ago. Slow sales forced it to close one of its two Williamsburg stores this year.
And last month, an annual survey of grocery markets showed Ukrop's no longer is the market leader in the Richmond area for the first time in more than 20 years. It lost its No. 1 spot to North Carolina-based Food Lion LLC, according to Food World.
Contact Louis Llovio at (804) 649-6348 or
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Reader Reactions
The White Oak Village Ukrops has never smelled like urine or fish, nor does any other Ukrops. White Oak is clean and has much more of a selection than the Bell Creek store. The customer service is about the same. The problem with the Bell Creek store is it is 20 years old and cramped and they don’t carry a lot of the products the WOV or VCC stores carry. And if you drive to Short Pump for those items you might as well stop at Whole Foods. The only Ukrops where I’ve experienced consistent customer service issues is the one on Broad across from Costco. There have been questionable people at the Gayton Rd and Village Ukrops as well.
Don’t know about y’all, but I don’t like this “Harris Teeter” already. I say we boycott the Teeters when they get here. Send ‘em packin’ back to North Carolina.
UKROPS: A LESSON IN HUBRIS
This can of worms started early this morning after my first post—It has grown into a meandering memory lane fest and feeding frenzy on poor Jack.
I know what he is trying to get across—and my points are accurate despite what Ukrops employees and family defenders are writing. Think what you want,
but what started off as a down to earth good ole boy business became a largess monied redundancy.They say that money corrupts. In Ukrops case, it
meant—dumb grocery stores that sold out to the rich neighborhoods (and thanks for those posts about
Johnny and the double standard—They are accurate—because it is the Community Pride type stores that
Ukrops started in—but by the end—they didn’t want to serve them anymore—They wanted to distance themselves from the real world—and the real shopper. )
They felt more comfortable with
overpriced and Disneyland type shopping “experiences” at the Village and in Williamsburg—not in the real world.
This hubris has come back to bite them in the butt. Ukrops went from a basic grocery model with good service—to an elitist—organization that wanted to
become a community organizer sponsoring anything and everything to promote their image. It became so apparent to everyone that they were trying to set standards and public relations that were unwieldy Anyone visiting the Harrison street Ukrops two years ago witnessed the busy employees spending more time selling tickets and tending to the confused masses (with way too many helpers doing nothing) than running a grocery store.
Let them take their money and
stay in banking and investments—let them blow it there too…It’s a good place for them to be right now.
The grocery store doesn’t interest them anymore nor should it—They have a new calling now: bigger bucks for that is their true god and always has been.
My, you people are vicious! If you don’t like Ukrops, don’t shop there. No one is holding a gun to your head.
However, for my food dollar, I spend 95% of my money there. ONCE IN A WHILE, I will go to Kroger for beer/wine, but that is maybe 4 times a year.
None of the above replacements are good. IF UKROPS WERE TO SELL OUT TO ANOTHER GROCER, I believe Publix is the one to come here. I’ve been in them and like them very much. To he** with Harris Teeter or Ahold.
So, if Ukrops changes over, I vote for Publix!
Wow. These comments are becoming more passive aggressive by the minute. I think everyone needs to relax a bit.
Here’s my take on Ukrop’s: sometimes I shopped there, and sometimes I didn’t.
Here’s my take on whatever company will takeover Ukrop’s: sometimes I will shop there, and sometimes I won’t.
If Ukrop’s is sold, I would wish for Harris Teeter. They are a class act and would retain and maybe even improve on Ukrop’s quality (IMO). I am just scared they are expanding too fast and may lose some of their edge.
On the other hand if Ahold grabs up Ukrop’s, run for your lives!! They have ruined Giant Food in the DC area. Giant was a decent local food chain until Ahold came along and they have run it into the ground. I won’t go near a Giant now.
Paperlady, I completly agree with you about the service at the White Oak Village store. It is so bad that it’s deplorable. I once had an issue with the salad bar (items needed to be replaced) and the produce manager told me it hadn’t been done because the salad bar people were between shifts. I asked him why he couldn’t do it being that he was the manager. He gave me another excuse so I politely dismissed him and left the store. I have since decided to take my grocery shopping elsewhere. What a shame since the store is very convenient to my house.
I’m not really concerned if Ukrop’s is sold to Harris Teeter. The one I’ve shopped at in Blacksburg was very clean, had a friendly staff and I liked the food selection.
I see the challenged ones now are resorting to name calling and labeling. I knew I could get it out of them. They aren’t smart enough to realize they will be found out eventually.
Mission accomplished, I’m out of here.
Jack… I find it funny that you where the person who started the off topic comments, with your insulting nature. I cannot believe you where ever a manager at a fortune 500 company. Wait, I forgot about Starbucks, it makes so much sense now. The grammar and spelling errors, the insulting nature, and your downright bitterness… I knew you were just that horrible old man that lives next door.
jack you bull-in -a -china-shop you (what you haven’t broken you soil). You demand non-bashing respect but hurl epithets, innuendo and good old fashioned “old-man-erisms” with the delight of a sociopath.
Sorry so many local Americans have hurt your feelings over the values argument.
I still support the Ukrop’s I frequent. But no cuts in line for you, cranky. Cut back on the salt!
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