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
I have been in Richmond for over 50 years and find it amazing that no one remembers the history. Dot’s was first and the cakes were delicious, Ukrop’s bought them out, changed the recipe and changed the taste of the cake. The other prepared foods are bland and tasteless, but I don’t guess they can use too much seasoning because they are catering to the populous and it’s hard to add a correct amount of seasoning to a food to satisfy everyone. The Powhite (po-white) was built and then the Ukrop’s came along and wanted us to call it pow-hite, because “they’ve been in Richmond and know the proper pronunciation…WRONG, it was po-white when constructed and still po-white today. Now about the Community Pride stores (formerly Siegel’s Supermarkets), I’m a little fuzzy, but didn’t Johnny run those stores into the ground (I know, everyone says Ukrop’s sabotaged him, but shouldn’t he have risen to top on his own instead of being so ambitious that he did the same thing Siegel’s did? OK CHECK OUT THE WHITE OAK VILLAGE STORE, ANYONE WITH HISTORY WILL REMEMBER SIEGEL’S GROCERY STORES, smelled horrible like bad meat and spoiled fish and urine, SO DOES THE WHITE OAK STORE, try Bell Creek Store, excellent service, pristine store, different products MUCH BETTER than White Oak Village (yeah, the new store), and the employees are so rude at WOV it is unbelievable. Even if Ukrop’s is no longer running the stores, that won’t stop other businesses from picking up their philanthropic projects. When one door closes, a window opens, BYE BYE UKROPS, finally a dream coming to fruition!
Dogtown…while everything you said is true, I believe it is because as humans we do not accept change well. It is in our nature to form habits and routines and when they get changed by something or someone we feel the need to cast blame. In turn, people that are being blamed feel the need to defend themselves from things that they also have no control over.
welpee good grief! You’re worse than a nagging spouse. Nothing in your post has a thing to do with the Ukrops Chain possible sale.
So if you can refrain from off topic, status envy, racist innuendos and actually discuss without bashing please feel free to do so.
Jack - tells us about these “unique values” we once had as a country.
And tell us how women pressured to get married when they become pregnant out of wedlock mainly because they have little chance to earn a comfortable living on their own is more desireable than a women having the ability make her own living and eventually marrying someone they actually love? And before you get it twisted, I’m not saying this is the ideal way to go about it, but its better than having no choice in the matter.
And have you considered that there are more DUIs today because the technology to prove intoxication has greatly improved since the 50s?
Finally! Due to many different personal reasons…I do not shop at Ukrop’s and welcome a well respected, chain to buy them out. Hopefully, Harris Twetter will be the one!! AMF to all the U clan!
Posted by ( annieb ) on July 15, 2009 at 2:32 pm
And Jack, you get the “snarky sarcasm of the day” award. Did that trait serve you well as a Fortune 500 manager?
I didn’t need to be sarcastic as almost everyone there was a professional and acted likewise. On here it serves a purpose when dealing with some mentally challenged individuals who use ethnicity, religion, and economic status to cover up their own inadequacies. Lashing out at the Ukrops must give them some sort of high. That seems to be our standard now.
Ukrops is not all things to all people. I doubt there is such an animal. But having lived in Richmond for 30 years, I have come to respect the family, and appreciate the stores. I shop there when I can (especially for prepared food like cakes and roasted chickens).
I am not familiar with Harris tweeter or the others mentioned. They may be as good, but I kind of doubt it. It will be a loss to the richmond area as some have already pointed out - from the philanthropy to the jobs. Such is Richmond and its reputation as a HQ spot for retailers - Thalhimers, Best Products, Office America, Heilig Meyers, Circuit City and now S&K.
I worked at one of those in the past. And am glad I do not work at a retailer today. But for those who do and enjoy it, it is getting tough to stay in Richmond and follow your career calling.
I for one am going to miss them. I will try the bought out store, but I do not hold high hopes.
And Jack, you get the “snarky sarcasm of the day” award. Did that trait serve you well as a Fortune 500 manager?
Did a search of the local Charlotte news media. It appears that Harris Teeter is essentially in negotiations to buy Ukrop’s. Though, they are commenting (no surprise though).
To dogtown’s point, this bashing on the RTD about political, racial, etc views just shows that so many people in RVA need to grow up.
dogtown you get the “post of the day” award. It just about sums it up. Thank you for injecting some intelligent thoughts.
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