Supervalu Inc. has announced layoffs and management changes in the wake of its $3.3 billion sale of five chains to Cerberus Capital Management LP.

Supervalu Inc., Cerberus Capital Management LP, Sam Duncan, Janel Haugarth, Randy Burdick, OfficeMax Inc., Kathy Persian, Michele Murphy, Dave Pylipow, J. Andrew Herring, Sherry Smith, Karla Robertson, Todd Sheldon, Mike Stigers, Jim Gilliam, Bob Jaskolski

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Inside This Issue - News

Supervalu starts to ‘rebuild our business’

April 15th, 2013

MINNEAPOLIS – Supervalu Inc. has announced layoffs and management changes in the wake of its $3.3 billion sale of five chains to Cerberus Capital Management LP.

Late last month the chain announced the reduction of 1,100 jobs, including current positions and open jobs that will not be filled.

"The decision to reduce our workforce, although difficult because of the impacts to our people, is the necessary next step in the rebuilding of our business," said president and chief executive officer Sam Duncan. "This move is an important part of our strategy to be more focused and efficient in our operations, including how we staff and support our three business units going forward."

Also in March, Supervalu announced appointments to its management team, including Janel Haugarth, who remains executive vice president and president of independent business and supply chain services. Haugarth, who has spent more than 35 years in a variety of leadership roles with Supervalu, will oversee the company’s wholesale and distribution business, which is expected to account for nearly 50% of its annual revenues.

Randy Burdick was named executive vice president and chief information officer. He spent the past eight years as chief information officer at OfficeMax Inc. Burdick replaced Kathy Persian, who left the company.

Michele Murphy was appointed executive vice president of human resources and corporate communications. She spent the past seven years as senior vice president of corporate human resources and labor relations. Murphy replaces Dave Pylipow, who will leave the company at the end of April.

Also leaving is J. Andrew Herring, executive vice president of real estate, market development and legal. He joined Supervalu in February 1998 and held numerous positions during his career, including management of the in-store pharmacy business from 2002 to 2006.

Also departing is executive vice president and chief financial officer Sherry Smith. She spent 26 years with Supervalu and previously served as senior vice president of finance.

This month Karla Robertson was named executive vice president for legal. She replaces Todd Sheldon, executive vice president, general counsel and corporate secretary, who will stay through May to help with fiscal 2013 year-end filings. At that time, Robertson will assume the additional roles and responsibilities held by Sheldon, including the title of executive vice president, general counsel and corporate secretary. Robertson joined Supervalu in July 2009 as senior labor and employment counsel and was later promoted to vice president of the employment, compensation and benefits law functions.

Also in April, Mike Stigers was tapped as the new president of Supervalu’s northern region. He will oversee sales and operations at six distribution centers serving more than 750 grocery retailers in central, northern and western states, including Alaska and Guam. He had been president of Supervalu’s New England-based Shaw’s division

Stigers, who will report to Haugarth, replaces Jim Gilliam, who will leave the company.
Also, Bob Jaskolski was named vice president of sales, merchandising and marketing for Supervalu’s independent business. He had been northern, western and independent business executive vice president. Jaskolski has spent the past 27 years with Supervalu and has a deep background in both retail operations and merchandising.