From http://www.chicagotribune.com/business/chi-0702030033feb03,0,837.story?coll=chi-news-hed
Dominick's to close 14 area stores by April
Chain revamp could affect 600 workersBy Robert Manor
Tribune staff reporter
Published February 3, 2007Dominick's said Friday it will close 14 underperforming stores by spring while spending heavily to renovate remaining stores that will carry more organic and upscale food.
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Meanwhile, Dominick's said it is going to convert 20 more of its grocery stores this year to what it calls the "lifestyle" format, meaning that half of its remaining 83 stores will have been renovated.
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The new format features subdued lighting and earth tone decorating schemes and prominently features prepared meals, fresh-baked bread and more upscale items, including an extensive selection of wines.
The effect is to make the grocery store a more attractive, almost intimate place stocked with easy-to-consume premium products.
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He also said the stores to be closed were probably doing so badly that Dominick's management could not justify spending the money to renovate them.
Andrew Wolf, a food and drug retail analyst for BB&T Capital Markets, said the lifestyle format has its appeal both to shoppers and to Safeway.
"It is more than just a better shopping environment," Wolf said. "You are going to sell higher-priced items with higher [profit] margins."
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Dominick's said Friday that it planned to close the following locations by early April:
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- North Riverside: 7401 W. 25th St.