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Unformatted text preview: .4¢ 10.3 6.9 1.36 3.83 Metro-Richelieu Inc. 1.9¢ 11.2 9.1 0.35 4.50 Empire Co. (Sobeys) Inc.
(see note) 1.6¢ 11.0 2.9 2.14 5.65 Average 1.5¢ 10.7 5.6 0.98 4.31 Company Debt/
Cash) Sources: The Globe and Mail, “Report on Business”(July 1998) and Financial Post, “Investment Reports” (May
1998). Data on Canada Safeway, Overwaitea, and A&P are not available because they are nonpublic companies in
Note: Empire Co. (Sobeys) Inc. data include large real estate and investment holdings in addition to grocery sales.
Therefore, certain ratios like debt/equity are not comparable to other industry members. The current strength of Loblaw Companies
contrasts with its position 25 years ago when
Galen Weston assumed the chairmanship of the
parent company, George Weston Limited (see Box
1). At that time, the company controlled the
Loblaw retail chain in Ontario, which was
underperforming, and had ownership interests in
scattered retail and wholesale companies in
Ontario and other provinces. Among Galen
Weston’s first steps was to hire several
exceptionally creative young managers, including
Richard J. Currie, who before long was given
responsibility for Loblaw Companies Ltd.’s
retailing and wholesaling operation in North
America. (Currie is now president of Loblaw and
George Weston Ltd.) Box 1 Corporate Profile:
George Weston Ltd. http//www.weston.ca at September 29, 1998 George Weston Limited, a broadly based
Canadian company founded in 1882, operates in
the food processing, food distribution, fisheries
and forest products businesses in North America.
1997 sales were $14 billion Cdn. . . .
George Weston Ltd. operates these diverse
businesses through: Weston Food Processing,
primarily a fresh and frozen bakery and a dairy
and fish processor; Loblaw Companies Limited,
the largest food distributor in Canada; and E.B.
Eddy, a value-added forest products processor.
George Weston Limited is committed to creating Currie revitalized the retail and wholesale
value for its shareholders and to the belief that it
operations. He had store interiors and exteriors
should participate along with its more than
refreshed with bold colors and installed theatrical
83,000 employees throughout its businesses, in
intensity lighting to highlight products.
supporting the communities in which it operates.
rigorous and imaginative corporate identity
program made every Loblaw location and product instantly identifiable and set new standards for
such programs in North America. Significant emphasis and effort was placed on private brands
and for improving the quality of fresh foods. Visually attractive and contemporary promotional 5 n KPMG/University of Illinois
Business Measurement Case Development and Research Program July 1999o materials and techniques complemented the merchandise and its presentation. The multi-faceted
assault on customers’ attention worked. Customers flocked to the stores and the Loblaw
renaissance was underway. Current...
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- Fall '08